INTERNATIONAL MONETARY ECONOMICS
Students will be able to interpret the prevailing dynamics on the international monetary and financial markets, identifying the determining causes of the observed phenomena. In particular, they will have the ability to critically analyze the functioning of a monetary union, starting from the experience of the European Monetary Union.
Knowledge and understanding: the student must be able to understand the role of the exchange rate as an instrument of economic policy and the conditions that limit its effectiveness.
Ability to apply knowledge and understanding: the student will be able to a) use his / her knowledge to evaluate if the European Monetary Union represents an Optimal Currency Area, b) read and comment on scientific publications, reports of international organizations and newspaper articles dealing with the theme of the Euro and the life of the European Monetary Union.
Autonomy of judgment: the student will be able to orientate himself critically in the field of the functioning of a currency area, succeeding also in acquiring an autonomous point of view in the political-economic debate.
Communication skills: the modalities of the examination will oblige the student to develop a competence in expressing the key points of a problem in a synthetic way, consolidating important skills often required in work contexts. The modalities with which to develop these skills will be illustrated during the course and tested in specific sessions of strengthening skills.
Students must have a basic knowledge of macroeconomics.
Covered topics include: Balance of payments and national accounts; monetary policy in an open economy; the currency market. Models of determination of exchange rates: basic concepts and theoretical models. Macroeconomics in Economics Open. The costs and benefits of a monetary union. The functioning of a monetary union
The course is organized into 3-frontal lectures per week. Frontal lessons serve to explain the most complex theoretical steps and to provide examples from reality that can help in understanding the economic events studied.
E. Colombo- M. Lossani, Economia Monetaria Internazionale, Carocci u.e. (capp. 1 – 11)
P. De Grauwe, Economia dell’Unione Monetaria, Il Mulino u.e. (cap. 1 – 11)
English speaking students may refer to:
P. Krugman – M. Obstfeld – M. Melitz, International Finance: Theory and Policy, Pearson 10/e
P. De Grauwe, Economics of Monetary Union, OUP 10/e
The exam consists in a compulsory written test in which students are asked to answer three open questions and an optional oral examination. The written exam lasts 45 minutes and the text of the questions usually consists of the title of the paragraphs of the textbooks. During the course, some exam simulations may be held, which may also contribute to the final vote.
During the course, some mock-exams may be taken.