Economics of Financial Markets

• Credit value: 15 credits at Level 7
• Convenor: Dr Tinghua Yu
• Assessment: a two-hour examination (80%) and coursework (20%)

In this module you will learn about key economic ideas from microeconomics, macroeconomics and international economics that are essential to a sound understanding of finance. You will also learn how data can help assess the state of the economy and guide policy responses.

By the end of this module, you should be able to understand:

• how markets work, and their role as an allocation mechanism
• how firms interact with the price mechanism and with each other
• national income accounting
• long-term economic growth and its determinants
• short-term fluctuations in growth
• how monetary and financial policy work
• international trade and the working of foreign exchange markets
• how real and financial markets interact
• how economic and financial crises arise
• the role of economics in current and emerging economic issues.