ECON5506 The Economics of Financial Markets

Credit
6 points
Offering
(see Timetable)
AvailabilityLocationMode
Semester 1UWA (Perth)Face to face
Semester 2UWA (Perth)Face to face
Content
This unit encourages participants to explore the behavioural links between financial markets, economic policy and economic performance at an advanced level. The unit focuses on the economics of financial market behaviour and the role of financial markets in macroeconomic performance.

Topics include an overview of financial market structure and behaviour, risk and the pricing of financial instruments, financial market efficiency and financial market regulation.
Outcomes
Students are able to (1) demonstrate understanding of the economic behaviour behind the markets for assets, as distinct from products, the structure of modern financial markets and their regulation, including the markets for some key financial instruments; (2) analyse the effects of financial shocks on economic behaviour and assess the implications of responses in the form of both monetary and fiscal policy; (3) demonstrate understanding of the genesis of economic cycles that are most often triggered by financial shocks, the most prominent of which in recent decades are the Asian financial crisis of 1997 and the international financial crisis of 2008, along with the consequences of the policy responses which followed; and (4) carry out elemental analysis of a more general range of financial and real shocks and their effects on financial and economic performance.
Assessment
Indicative assessments in this unit are as follows: (1) tests and (2) final examination. Further information is available in the unit outline.

Supplementary assessment is not available in this unit.
Unit Coordinator(s)
Professor Rod Tyers
Unit rules
Prerequisites:
for Master of Commerce and Master of Economics and Master of Public Policy students: ECON5541 Economics for Business: Applications and Policy
or
ECON5516 The Economics of Public Policy; for Master of Applied Finance students: FINA5533 Finance Essentials
and
FINA5523 Financial Statement Analysis and Business Valuation
and
FINA5632 Investments
and
FINA5631 International Financial Analysis
Contact hours
lectures/seminars/workshops: up to 3 hours per week
Unit Outline
Semester 1_2019 [SEM-1_2019]
  • The availability of units in Semester 1, 2, etc. was correct at the time of publication but may be subject to change.
  • All students are responsible for identifying when they need assistance to improve their academic learning, research, English language and numeracy skills; seeking out the services and resources available to help them; and applying what they learn. Students are encouraged to register for free online support through GETSmart; to help themselves to the extensive range of resources on UWA's STUDYSmarter website; and to participate in WRITESmart and (ma+hs)Smart drop-ins and workshops.
  • Books and other material wherever listed may be subject to change. Book lists relating to 'Preliminary reading', 'Recommended reading' and 'Textbooks' are, in most cases, available at the University Co-operative Bookshop (from early January) and appropriate administrative offices for students to consult. Where texts are listed in the unit description above, an asterisk (*) indicates that the book is available in paperback.