This course is designed to introduce the basic features of the International Financial System, the process of Financial Globalization, the characteristics of the distinct capital markets and the influence of the Financial Economy in the functioning of the World Economy. Within this context, the direction of the European Monetary Union, its process of development, and its current function are explained.
Prerequisites:
Macro-economics
Method of presentation:
Lecture and class discussion.
Required work and form of assessment:
There will be two partial exams (25% each), an individual project (25%), and a final exam (25%).
content:
1. The process of financial internationalization
a. The crisis of the International Monetary System and Bretton Woods b. The political economy of the 1980’s
c. The debt crisis
d. Financial liberalization and the technological revolution
2. The international financial markets a. Foreign exchange markets
b. Capital and derivative markets c. International financial centers
d. Emerging markets
3. The financial crises in the emerging economies
a. Programs of stabilization and political change b. The “trilema” of the political economy
c. The dynamics of the crises
d. The cases of Mexico, Asia, Russia, Brazil, and Argentina
4. Financial globalization and the crisis of the European Monetary System a. The European Monetary System
b. Financial liberalization and the Single Market c. The crisis of the European Monetary System
d. The search for alternatives: types of floating exchange vs. a single currency
5. European Monetary Union
a. The process of construction for the Monetary Union b. The European System of Central Banks
c. The instruments of political monetary union
d. Objectives and problems of the political monetary union
6. The euro in the Global Economy
a. The rate of exchange euro/dollar
b. The euro as dominant currency: weaknesses in comparision with the dollar
c. The euro’s zones of influence
d. The Euro Zone as economic world power
Required readings:
Palazuelos, E. La globalización financiera. Madrid: Síntesis.
Recommended readings:
Aragones, J. Economía Financiera Internacional. Madrid: McGraw-Hill, 1990.
Banco de España . La Unión Monetaria Europea. Madrid: Banco de España, 1997
Devlin. “Flujos de capital y desarrollo en los noventa: implicaciones para las políticas económicas,” Pensamiento Iberoamericano, no. 27, enero, 1997.
Diez de Castro y Mascareñas. Ingeniería financiera internacional. Madrid: McGraw-Hill, 1996.
Fitzgerald. “Las finanzas internacionales y el problema de la regulación de los flujos de capital a escala internacional,” en La economía mundial de los 90, FUHEM, Madrid, 1994
Jordán, J. Economía de la Unión Europea. Madrid: Civitas, 1999.
This course is designed to introduce the basic features of the International Financial System, the process of Financial Globalization, the characteristics of the distinct capital markets and the influence of the Financial Economy in the functioning of the World Economy. Within this context, the direction of the European Monetary Union, its process of development, and its current function are explained.
Macro-economics
Lecture and class discussion.
There will be two partial exams (25% each), an individual project (25%), and a final exam (25%).
1. The process of financial internationalization
a. The crisis of the International Monetary System and Bretton Woods b. The political economy of the 1980’s
c. The debt crisis
d. Financial liberalization and the technological revolution
2. The international financial markets a. Foreign exchange markets
b. Capital and derivative markets c. International financial centers
d. Emerging markets
3. The financial crises in the emerging economies
a. Programs of stabilization and political change b. The “trilema” of the political economy
c. The dynamics of the crises
d. The cases of Mexico, Asia, Russia, Brazil, and Argentina
4. Financial globalization and the crisis of the European Monetary System a. The European Monetary System
b. Financial liberalization and the Single Market c. The crisis of the European Monetary System
d. The search for alternatives: types of floating exchange vs. a single currency
5. European Monetary Union
a. The process of construction for the Monetary Union b. The European System of Central Banks
c. The instruments of political monetary union
d. Objectives and problems of the political monetary union
6. The euro in the Global Economy
a. The rate of exchange euro/dollar
b. The euro as dominant currency: weaknesses in comparision with the dollar
c. The euro’s zones of influence
d. The Euro Zone as economic world power
Palazuelos, E. La globalización financiera. Madrid: Síntesis.
Aragones, J. Economía Financiera Internacional. Madrid: McGraw-Hill, 1990.
Banco de España . La Unión Monetaria Europea. Madrid: Banco de España, 1997
Devlin. “Flujos de capital y desarrollo en los noventa: implicaciones para las políticas económicas,” Pensamiento Iberoamericano, no. 27, enero, 1997.
Diez de Castro y Mascareñas. Ingeniería financiera internacional. Madrid: McGraw-Hill, 1996.
Fitzgerald. “Las finanzas internacionales y el problema de la regulación de los flujos de capital a escala internacional,” en La economía mundial de los 90, FUHEM, Madrid, 1994
Jordán, J. Economía de la Unión Europea. Madrid: Civitas, 1999.
Myro, R. Economía Europea. Madrid: Civitas, 2001
Ontiveros. Mercados financieros internacionales. Madrid: Espasa Calpe, 1991.
Palazuelos, E., and Vara, M.J. Grandes áreas de la economía mundial. Madrid: Ariel, 2002.
Tugores, J. Economía Internacional e Integración económica. Madrid: McGraw-Hill, 1997
VV.AA. El sistema financiero. Globalización e inestabilidad. Madrid: Pensamiento Iberoamericano, 1995.