MONETARY AND FINANCIAL THEORY

Course Description

This course introduces students to the fundamental concepts and issues in monetary theory and policy. The course covers the structure of central banks, monetary policy goals and tools, monetary policy transmission mechanisms, and the implications of policies in a macroeconomic setting. The primary goal of this course is to improve students' knowledge of monetary economics and to combine knowledge from various courses into the setting of how monetary policy regulation and operation can provide stability in the macroeconomic setting                                             

MONETARY AND FINANCIAL THEORY

Evaluation Tools (Active Term)

Course outcomes

1. 01 Explain the role and responsibilities of Central banks
2. 02 Discuss the goals of Central Bank in conducting monetary policy
3. 03 Explain how Central Banks conduct monetary policy and the various policy tools at their disposal.
4. 04 Explain how Central Banks measure and manage the money supply.
5. 05 Explain how Central Banks influence the level of interest rates in an economy
6. 06 Describe the transmission process for monetary policy.
7. 07 Explain International finance and Monetary policy

Course Syllabus

Reference Books & Course Materials

1. 01 Frederick S. Mishkin The Economics of Money, Banking and Financial Markets 11th Edition Pearson

Learning Outcomes

1. L01 Develop an understanding of Central Banking and the use of monetary tools. SOLO 5
2. L02 Demonstrate ability to understand the money supply and transmission mechanisms of monetary policy SOLO 4
3. L03 Perform the tasks related to the central bank and commercial banks' balance sheets. SOLO 4
4. L04 Implement how monetary policy is used by the central banks to stabilize the economy SOLO 4
5. L05 Evaluate the relationship with the IS Curve, Aggregate demand, Inflation, and Interest Rates SOLO 5

Program Outcomes

1. P01 PO1 Been able to demonstrate their learned skills and knowledge regarding business related issues and research which they can use continuously in their personal and business life.
2. P02 PO2 Obtained theoretical and practical information from the courses that allowed students to learn and work independently.
3. P03 PO3 Been ensured that they learnt by increasing their level of knowledge and skills which are necessary in their field.
4. P04 PO4 Increased their creativity and analytical thinking and developed crucial skills which are needed to be applied both in their studies, research, and future careers.
5. P05 PO5 Adopted and implemented ethical principles and moral values regarding the use of technology in their studies and professional lives by creating an awareness on using the technological imperatives.
6. P06 PO6 Designed their theoretical and practical knowledge in a way that they could make use of in a collaborative usage and various working contexts.
7. P07 PO7 Enrolled in intercultural or international projects which could provide opportunities to develop their skills and implement them successfully in their studies, research and future careers.
8. P08 PO8 Improved their communication skills successfully and been able to implement them in various international education, research and work context by increasing their social capital.
9. P09 PO9 Been able to implement their learnt knowledge and research skills into practice through scenarios, case studies, empirical articles and real-life observations.
10. P10 PO10 Created awareness and developed ethical undertaking by incorporating the learnt theories with environmental approaches to be further implemented into their research and careers.

Po-Lo Matrix