ECON 3760 - International Finance

Crosslisted: Also listed as FIN 3760

Goals: Students will learn the fundamental concepts of both the business management and macroeconomic aspects of international finance.

Content: The course weaves together two related topics: international financial management and international financial economics. After becoming familiar with national accounting and determination of exchange rates, students will learn about financial derivatives in the foreign exchange markets, and how they and other tools can be used to manage the various risks faced by businesses engaged in international transactions or facing international competition. We will then return to the topic of exchange rate determination, with special attention to how equilibria in the asset and money markets are simultaneously determined. Finally, we will build on this basis to develop a model of a whole economy, and use it to explore the effects of external factors on the economy; how economic events in one country can affect its trade partners; and how policy-setting is complicated by these international linkages.

Prerequisite: ECON 3100 or FIN 3100, grade of C- or higher

Credits: 4