Download MONETARY POLICY Schedule (2016/17): Topics of lectures

Course Title
MONETARY POLICY
ECTS credits
6
Type of Course
Compulsory
Year and Semester of Study
Third year / Winter semester
Course Coordinator
Professor Marijana Ivanov, PhD
Instructors
Professor Marijana Ivanov, PhD
Assistant Professor Dajana Barbić, PhD
Hours per Semester
60
-
Hours of teaching:
45
-
Hours of seminars and practice work
15
Course
Objectives
-
-
Course
Contents
Methods of
Instructions
Understanding the role of money in economic activity as
well as the goals and functions of central banks in
implementation of monetary policy instruments.
Acquiring knowledge of monetary flows which, through
the central bank and commercial banks, reflect changes
in the monetary sphere of the economy and, through
liquidity of the national economy, affect the real economy
variables, and states of equilibrium, such as: prices,
exchange rate, employment, economic growth, balance of
payments etc.
1. Understanding money and its historical development
2. Contemporary monetary system
3. Monetary institutions and differences between central bank
and commercial banks
4. Role of banks in the process of money creation
5. Bank reserves, multiplication of deposits and credit
expansion
6. Money supply changes
7. Monetary aggregates and monetary multiplier
8. Liquidity
9. Money and inflation
10. Objectives and instruments of monetary policy
11. Effects of monetary policy on financial markets and on shifts
in the real sector of the economy
12. Monetary policies of the Croatian National Bank, the
European Central Bank and the Federal Reserve System
13. Monetary policy and exchange rate policy
14. International monetary system
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Lectures, seminars, PC practice, essay writing
1
Required
Readings


Additional
Readings

Mishkin, F. S.: «The Economics of Money, Banking and
Financial Markets», Pearson Addison Wesley, 2012, …
2015
Lectures (presentations and other sources)
http://www.efzg.unizg.hr/default.aspx?id=11284
Mayer, T. A.; Duesenbery, J.S.; Aliber, R.Z.: «Money,
Banking and the Economy», W.W. Norton & Company,
1997;
Student
Obligations
Active participation in all forms of class. Writing homework
assignments on specific topics and reviews of current
issues in the field of monetary policy.
Method of
Assessment
Assessment will be carried out continuously, during the
pedagogical work with students (lectures, practical work,
individual problem solving and case studies). The final
grade will depend on two written mid-term tests, and
the success at the final oral exam.
Each written mid-term test carries 50 possible points, and
together make up a 100 possible points.
For each test, the student should get at least 60% of
possible points.
During the seminar classes, students can further explore
and present a topic related to the course content and thus
collect (from 1 to 5) extra points.
Total points for final grade:
 91 and more – excellent (5)
 from 81 to 90 – very good (4)
 from 71 to 80 – good (3)
 from 60 to 70 – sufficient (2)
 less than 60 – insufficient (1).
Course and
teaching quality
assurance
method
(method of
monitoring the
quality of the
course and its
teaching)
Internal evaluation will be carried out by an anonymous
survey among the students that will be organized by the
Faculty during the last few weeks of a semester.
2
MONETARY POLICY
Schedule (2016/17): Topics of lectures
4.10.2016.
Understanding money and its historical development
11.10.2016.
Contemporary monetary system
18.10.2016.
Monetary institutions and differences between central bank
and commercial banks
- Appendix: Financial institutions and markets
Role of banks in the process of money creation
- Appendix: Lending capacity of commercial banks
Bank reserves, multiplication of deposits and credit
expansion
- Examples 1-6
- Appendix: Risk management in banking
Money supply changes
- How the central bank can affect the reserves of commercial
banks?
Monetary aggregates and monetary multiplier
- Balance sheet of the central bank
Liquidity
Demand for money
- Monetary theory
ST
1 MID-TERM TEST
25.10.2016.
8.11.2016.
15.11.2016.
22.11.2016.
29.11.2016
6.12.2016.
13.12.2016.
20.12.2016.
10.1.2017.
17.1.2017.
24.1.2017.
Money and inflation
- Monetarist view
- Keynesian view
- High employment targets and inflation
Objectives and instruments of monetary policy
Effects of monetary policy on financial markets and on shifts
in the real sector of the economy
- The main transmission channels of monetary policy
Monetary policies of the Croatian National Bank
Monetary policies of the European Central Bank and the
Federal Reserve System
Monetary policy and exchange rate policy
International monetary system
2nd MID-TERM TEST
Selected topics: International financial system – from crisis to
prosperity
3