Financial Crises (3) Examination of causes and consequences of financial crises; asset pricing theory, market efficiency, speculative bubbles; policy considerations.
ECON 452W Financial Crises (3)
This course focuses on the causes and consequences of financial crises. We study famous crashes from the South Sea Bubble to Long-Term Capital Management, as well as international financial crises such as the Asian Crisis of 1997-98 and the Argentine Crisis of 2001. We examine both the history of the crises and the economic factors that are the fundamental causes, in part with a view to determining if these crises were the inevitable outcome of speculative markets, or the result of regulatory error.
The instructional and educational objectives of the course are to provide students with the opportunity to explore financial crises in a small, advanced seminar setting. The course objectives are to provide students with a theoretical framework for examining financial crises, to examine evidence on historical and more recent financial crises using that theoretical framework, and to consider policies aimed at avoiding and/or alleviating the effects of financial crises in light of the theoretical framework and the empirical evidence.
The course is part of a curriculum overhaul of 400-level courses in economics, in which advanced seminar courses are being created in seven broad areas of economics. This seminar is in the area of macroeconomics. This course may be used to meet major or minor requirements.
Note : Class size, frequency of offering, and evaluation methods will vary by location and instructor. For these details check the specific course syllabus.