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- Code:
- 26035
- Field:
- Macroeconomics
- Targets:
- Master’s students Research Master's students
- Organiser:
- Hanken Shool of Economics
- Instructor:
- Rune Stenbacka
- Period:
- Period 1
- Format:
- Lecture
- Method:
- Contact teaching
- Venue:
- Hanken campus
- Enrollment:
In case of conflicting information consider the Sisu/Moodle pages the primary source of information.
Content
This course has two parts. The first part deals with microeconomics of financial intermediation. It emphasizes the role of asymmetric information in credit markets. It explores the central theories of financial intermediation and regulation thereof. The second part concentrates on the transmission of monetary policy through the banking system. It first discusses the objectives of monetary and macroprudential policy in the presence of both nominal and financial frictions. It then introduces tools available to central banks and regulatory authorities for achieving these objectives such as the conventional policy rate, quantitative easing and capital requirements.
The course will focus on the following issues:
adverse selection and moral hazard in credit markets, implications of asymmetric information in banking markets, relationship lending and bank monitoring, screening and the use of collateral in bank lending, bank competition and financial stability, bank runs, deposit insurance and systemic risk, securitization and the subprime crisis, the regulation of banks, nominal financial and monetary policy, the transmission of conventional monetary policy through the banking system, unconventional monetary policy, quantitative easing and forward guidance, financial frictions and macroprudential policy, bank capital regulation
Teaching
- Course Sisu page
- Schedule: TBA in August
- Study materials: can be found in Moodle (to be added to the list couple of days before the course starts)
- Access to many Moodle courses requires a 'key' (course password) which you can get from the teacher of the course.
- Most teachers post the course key as a message in Sisu or send it by email couple of days before the course begins.
- To be able to use all the features of the Moodle course workspace you must log in with your Hanken user ID (that is generated after the study rights have been granted)
- For more tips on how to register for a Moodle course area, click here.
- Access to many Moodle courses requires a 'key' (course password) which you can get from the teacher of the course.
Please register for the course in the Hanken Sisu with your Hanken username, further instructions can be found here.
University-specific instructions
Aalto University Students
- Code: no equivalent code
- Target groups: MSc / rMSc / not suitable for PhD students
- Credit points: 5
- Credit transfer: please apply for inclusion
Hanken Students
- Code: 26035
- Target groups: MSc / rMSc / not suitable for PhD students
- Credit points: 5
University of Helsinki Students
- Code: ECOM-G415
- Target groups: MSc / rMSc / not suitable for PhD students
- Credit points: 5
- Credit transfer: apply for substitution in Sisu
FDPE Students Students
- Not suitable for PhD student
Learning outcomes
After completing the course, you will be able to:
- assess the implications of asymmetric information for credit market efficiency
- analyze and propose solutions to problems caused by informational asymmetry in credit markets
- assess the role of banks in an economy and their vulnerability to crises
- assess the goals and limitations of bank regulation
- analyze the topical issues related to financial intermediaries and their regulation
- participate in the debates concerning financial crisis and bank regulation analytically
- illustrate the roles of monetary and macroprudential policy
- assess the effects of key policy tools and their limitations