Faculty of Business and Economics

Monash University

Postgraduate - Unit

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.

FacultyFaculty of Business and Economics
Organisational UnitDepartment of Economics
OfferedCaulfield First semester 2015 (Day)
Coordinator(s)Dr Horag Choi


This unit focuses on the topics of international finance and trade. This includes: the importance of international finance; the balance of payments accounts; the effect of macroeconomic policies on trade balance; foreign exchange markets - spot, forward, futures and options markets; the determination of exchange rates; parity conditions; hedging and speculation in foreign exchange markets; foreign investment; trade barriers.


The learning goals associated with this unit are to:

  1. understand the theory and evaluate the impacts of the balance of payments among nations and macroeconomic policies
  2. understand the operation of foreign exchange markets and assess the policy implications of alternative exchange regimes
  3. understand the impacts of multinational corporations in international trade
  4. understand trade barriers and their impacts on national welfare: tariffs and nontariff trade barriers.


Within semester assessment: 40%
Examination: 60%

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.

See also Unit timetable information

Chief examiner(s)


Students must be enrolled in course 3842 to undertake this unit.