Econ 690

Spring 2019

 

International Financial Economics

 

Syllabus [pdf] [web]

 

Readings:

 

Bekaert, Geert, and Robert Hodrick. 2017. International Financial Management, Third Edition. Cambridge University Press.

 

 

Date

Reading Assignment

(See syllabus for details!!)

1/23

Gorton and Metrick

1/28

Bekaert and Hodrick, Chapter 1

Fernandez, et al., “Capital Control Measures: A New Dataset.”

1/30

Class canceled by the University due to cold weather

 2/4

Bekaert and Hodrick, Chapter 2

 2/6

“Triennial Survey of Foreign Exchange and OTC Derivatives Trading.”

 2/11

Bekaert and Hodrick, Chapter 3

2/13

No new reading assignment

2/18

Bekaert and Hodrick, Chapter 4

2/20

Bekaert and Hodrick, Chapter 5

2/25

Bekaert and Hodrick, Chapter 6

2/25

Mid-term exam, 5:30-7:00 pm

5106 Social Sciences

2/27

Du, Tepper, and Verdelhan, “Deviations from Covered Interest Parity”

3/4

Bekaert and Hodrick, Chapter 7, sections 1 and 2, and Appendix 7.3

3/6

Bekaert and Hodrick, Chapter 7, sections 3, 5 and 6

3/11

Bekaert and Hodrick, Chapter 7, Appendix 7.2

3/13

No new reading

3/25

Bekaert and Hodrick, Chapter 8

3/27

No new reading

4/1

Bekaert and Hodrick, Chapter 9

4/1

Mid-term exam, 5:30-7:00 pm

5106 Social Sciences

4/3

Bekaert and Hodrick, Chapter 10

4/8

No new reading

4/10

Engel and Wu paper

4/15

Bekaert and Hodrick, Chapter 14

4/17

Reading on Sovereign Default

4/22

Reading on Sovereign Default

4/24

Bekaert and Hodrick, Chapter 20

4/29

No new reading

5/1

No new reading

5/8

Final Exam, 10:05 AM – 12:05 PM

6104 Social Sciences

 

 

Date

Homework

Assigned

Date Homework Due

Homework Assignment

Answers to Homework Assignments

 Weds., 1/23

Mon., 2/4

Homework #1

Answers to HW1

 Mon., 2/4

Mon., 2/11

Homework #2

Answers to HW2 

 Mon., 2/11

Mon., 2/18

Homework #3

Answers to HW3

 Mon., 2/18

Mon., 2/25

Homework #4

Answers to HW4

Mon., 3/4

Mon., 3/11

Homework #5

Answers to HW5

Mon., 3/11

Mon., 3/25

Homework #6

Answers to HW6

Mon, 3/25

Weds, 3/27

Homework #7

 Answers to HW7

Weds., 4/3

Weds.,4/10

Homework #8

 Answers to HW8

Weds.,4/10

Weds.,4/17

Homework #9

 Answers to HW9

Weds.,4/17

Weds.,4/24

Homework #10

  Answers to HW10

Weds.,4/24

Weds.,5/1

Homework #11

 Answers to HW11

 

 

Answers to Test 1

Answers to Test 2

Answers to Test 3

 

Lecture Slides

Lecture 1: Course Introduction and Outline

Lecture 2: Global Financial Crisis

Lecture 3: International Financial Markets and Global Organizations

Lecture 4: Foreign Exchange Market

Lecture 5: Forward Market and Foreign Exchange Risk

Lecture 6: Balance of Payments Accounts

Lecture 7: Exchange Rate Systems

Lecture 8: Covered Interest Parity

Lecture 9: Speculation and Risk in Foreign Exchange Markets

Lecture 10: Portfolio Choice

Lecture 11: Purchasing Power Parity

Lecture 12: Pricing to Market

Lecture 13: Exchange Rate Determination

Lecture 14: Liquidity and Exchange Rates

Lecture 15: Country and Political Risk

Lecture 16: Default Risk

Lecture 17: Foreign Currency Futures and Options