ECON 345 - Financial Economics

This course aims to familiarize students with the workings of financial markets and investment decision-making. It is designed to provide an understanding of the main financial models for valuing assets in conditions of certainty and uncertainty and the implications of market efficiency. The course content introduces students to the practical side of financial risk management and develops an understanding of competing views about financial market behavior. Asset values and rates of return will be examined together with the use of portfolios in risk diversification. The course will review the main asset pricing models and consider the problems encountered when testing them empirically. Theoretical issues that are currently outstanding in this field will be discussed.

Unit(s): 1
Group Distribution Requirement(s): Distribution Group II
Prerequisite(s): ECON 201
Instructional Method: Lecture-conference
Grading Mode: Letter grading (A-F)
Group Distribution Learning Outcome(s):

Evaluate data and/or sources.
Analyze institutions, formations, languages, structures, or processes, whether social, political, religious, economic, cultural, intellectual or other.
Think in sophisticated ways about causation, social and/or historical change, human cognition, or the relationship between individuals and society, or engage with social, political, religious or economic theory in other areas.