AFF4101

Money markets: theory measurement and policy ( 6 points, SCA Band 2, 0.125 EFTSL)

Leader: To be advised

Offered:
Not offered in 2005.

Synopsis: Topics include an introduction to money and the monetary economy; economic analysis of financial markets; money market institutions and their role in the monetary economy; money and money supply process; the demand for money; the role of money markets in macroeconomic models; short-term money market and implementation of monetary policy in Australia; determination of interest rates and their term structure; the effect of economic news and policy announcements on financial markets; monetary policy under deregulated financial markets.

Assessment: Research assignment: 30% + Examination (2.5 hours): 70%

Contact Hours: 3 hours per week

Prerequisites: ECF1710, AFF1300 or equivalents