Undergraduate - UnitECC3660 - Monetary economics

This unit entry is for students who completed this unit in 2015 only. For students planning to study the unit, please refer to the unit indexes in the the current edition of the Handbook. If you have any queries contact the managing faculty for your course or area of study.

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6 points, SCA Band 3, 0.125 EFTSL

Refer to the specific census and withdrawal dates for the semester(s) in which this unit is offered.

Level	Undergraduate
Faculty	Faculty of Business and Economics
Organisational Unit	Department of Economics
Offered	Clayton First semester 2015 (Day)
Coordinator(s)	Dr Dinusha Dharmaratna

Synopsis

Economics of financial assets, markets, intermediaries, regulation and innovation; money aggregates; behaviour of interest rates; loan funds analysis; risk and term structure of interest rates; adverse selection and moral hazard; independence of central banks; determinants of the money supply and the conduct of monetary policy in Australia; theories of money demand; money supply and economic activity; Keynesian-monetarist debate; transmission mechanisms of monetary policy; money and inflation; monetary implications of budget deficits; volatility in foreign exchange markets; the international financial system; capital controls; role of the IMF; international monetary policy strategy.

Outcomes

The learning goals associated with this unit are to:

principal issues in contemporary monetary theory and policy
nature and functions of the monetary system in a developed economy
factors governing the relationship between monetary forces and economic activity
principles, techniques and problems of implementing monetary policies;
current controversies in monetary policy.

Assessment

Within semester assessment: 25%
Examination: 75%

Workload requirements

Minimum total expected workload to achieve the learning outcomes for this unit is 144 hours per semester typically comprising a mixture of scheduled learning activities and independent study. Independent study may include associated readings, assessment and preparation for scheduled activities. The unit requires on average three/four hours of scheduled activities per week. Scheduled activities may include a combination of teacher directed learning, peer directed learning and online engagement.

Chief examiner(s)

Dr Dinusha Dharmaratna

Prerequisites

ECC2000 and ECC2010 or equivalent

Prohibitions

ECC4366