ECONOMICS 3P04
MONEY AND BANKING II
Winter 2015
A. General Information
| Instructor | Professor Zisimos Koustas |
| Office | Plaza 437 |
| Phone | 688-5550 Ext. 3326 |
| Web Page | http://spartan.ac.brocku.ca/~zkoustas/ |
| Office Hours | W 1:00-2:00 F 1:00-2:00 |
B. Course Grading
There will be a midterm test and a final examination. In addition, two problem sets will be assigned and marked. The average of the assignment grades will be used to calculate the final grade. The weights attached to each piece of work in the course are as follows:| Midterm test | 40% |
| Assignments | 10% |
| Final examination | 50% |
Note: Students may withdraw from the course without academic penalty by Friday, March 6, 2015.
C. Suggested Study Method
Attending classes regularly and taking class notes is strongly recommended. Active class participation, through contributing to the discussion, is very much encouraged. Discussing the assigned problems with classmates is allowed and indeed encouraged. However, the final product must reflect your own work. Late assignments will not be accepted after the solutions have been posted online. Otherwise, a penalty of 10 marks per overdue day will be applied.
D. Course Outline
Required Text: Frederic S. Mishkin and Apostolos Serletis, The Economics of Money, Banking, and Financial Markets: Fourth or Fifth Canadian Edition, Pearson Canada Inc., 2011 (2014).| Part V: Central Banking and the Conduct of Monetary Policy | |
| Week 1 | Chapter 15: Central Banks and the Bank of Canada |
| Week 2 | Chapter 16: The Money Supply Process |
| Week 3 | Chapter 17: Tools of Monetary Policy |
| Chapter 18: Conduct of Monetary Policy: Strategy and Tactics | |
| Part VI: International Finance and Monetary Policy | |
| Week 4 | Chapter 19: The Foreign Exchange Market |
| Weeks 5, 6 | Chapter 20: The International Financial System |
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Midterm Test: Saturday, February 28, 2015 |
| Part V: Monetary Theory | |
| Weeks 7, 8 | Chapter 21: The Demand for Money |
| Weeks 9, 10 |
Chapter 24: Aggregate Demand and Supply Analysis |
| Weeks 11, 12 | Chapter 27: Rational Expectations: Implications for Policy |
