FIN453 Finance and Banking
Lead Faculty: Dr. Farhang Mossavar-Rahmani
Overview the banking system, and the role of money and interest rates in the economy. Topics include: today's financial and monetary controversies, role of banking system in the economy; banking regulations; financial instruments and their purposes; asset pricing, the determination and behavior of interest rates; the monetary base and the money supply framework; the role of the Federal Reserve system in the determination of money supply, interest rates, and economic goals; the effect of money and credit on output, employment, and inflation.
- Explain what money is, its functions and the demand for money.
- Describe the role and functions of the Federal Reserve System.
- Discuss the issue of the stability of money demand.
- Explain how the economy behaves during a recession and discuss policy operation available.
- Discuss the general banking environment.
- Explain why banks must maintain a minimum capital-asset ratios.
- Discuss the fundamental problems of financial intermediation.
- Understand the global aspects of banking and their impacts.