COURSE INFORMATION
Course Title: INTERNATIONAL FINANCE
Code Course Type Regular Semester Theory Practice Lab Credits ECTS
BAF 413 B 1 3 0 0 3 6
Academic staff member responsible for the design of the course syllabus (name, surname, academic title/scientific degree, email address and signature) NA
Lecturer (name, surname, academic title/scientific degree, email address and signature) and Office Hours: Nertil Mera , Thursday: 17:00 - 18:00 PM
Second Lecturer(s) (name, surname, academic title/scientific degree, email address and signature) and Office Hours: NA
Teaching Assistant(s) and Office Hours: NA
Language: English
Compulsory/Elective: Elective
Classroom and Meeting Time: E-212: 18:00 - 20:45 PM
Course Description: BAF 413- International Finance: Introduction to exchange rate, the market for foreign currency, exchange rate regimes, international monetary system, balance of payments, prices in the open economy, financial markets in the open economy, managing operating exposure, managing transaction exposure, forward, futures and options markets, international banking, souring debt internationally, souring equity internationally.
Course Objectives: The primary objective of this course is to aid the students with the understanding of the global financial environment. To help them comprehend global markets with all the different currency regimes and provide them with a financial management dimension of working internationally.
COURSE OUTLINE
Week Topics
1 Review of Syllabus: An Overview of the Course
2 International Flow of Funds
3 International Financial Markets
4 Exchange Rate Determination
5 Currency Derivatives and Government Influence on Exchange Rates
6 International Arbitrage and Interest Rate Parity
7 Relation among Inflation, Interest Rates and Exchange Rates
8 Midterm Exam
9 Forecasting Exchange Rates
10 Measuring Exposure to Exchange Rate Fluctuations
11 FDI and the Financing of International Trade
12 Presentation of Term Projects
13 Presentation of Term Projects
14 Review Before Final Exam
Prerequisite(s): -
Textbook: Madura, J. (2014) International Financial Management, 12th Edition
Other References: Makin, A. J. (2017) International Money and Finance, 1st Edition, Routledge Publishing. Gandolfo, G. and Federici, D. (2016) International Finance and Open Economy Macroeconomics, 2nd Edition, Springer Publishing. Melvin, M. and Norrbin S. C. (2013) International Money and Finance, 8th Edition, Academic Press- Elsevier Bekaert, G. and Hodrick, R. (2011) International Financial Management, 2nd Edition, The Prentice Hall Series in Finance.
Laboratory Work:
Computer Usage: Possible
Others: No
COURSE LEARNING OUTCOMES
1 To understand the global financial environment
2 To understand effects of globalization process
3 To understand how the international monetary system works
4 To analyze different foreign exchange rate systems
5 To understand the way exchange rates are determined.
6 To understand the foreign currency derivatives
7 To understand the foreign exchange exposure
8 To understand the balance of payments and its role
9 To analyze the foreign direct investments
10 To understand the ways international trade is financed
COURSE CONTRIBUTION TO... PROGRAM COMPETENCIES
(Blank : no contribution, 1: least contribution ... 5: highest contribution)
No Program Competencies Cont.
Master of Science in Economics Program
1 The students are gained the ability to look at the problems of daily life from a broader perspective. They gain the needed skills not only to understand economic problems in economics but also to construct a model and defend in meaningful way. 5
2 They have knowledge about the microeconomics. 5
3 They have knowledge about the macroeconomics. 5
4 They have knowledge about the international economics and finance. 5
5 They have ability to use mathematical and statistical methods in economics. 4
6 They know how to use computer programs in both daily office usage and statistical data evaluations in public and private sector. 3
7 They have necessary economics skills that needed in private and public sector. 4
8 They are intended to be specialist in one of departmental fields that they choose from the list of general economics, growth and development, labor economics and labor market, environmental economics, agricultural economics, health economics, education economics and human development, political economics, international economics, monetary economics, finance economics, public finance, international financial markets and institutions, banking and central banking, international trade and banking, monetary economics and banking, 4
9 They have ability to utilize fundamental economic theories and tools to solve economic problems in economics. 4
10 They are aware of the fact that economics is a social science and they respect the social perspectives and social values of the society’s ethics. 5
COURSE EVALUATION METHOD
Method Quantity Percentage
Midterm Exam(s)
1
25
Project
1
20
Quiz
1
5
Final Exam
1
40
Attendance
10
Total Percent: 100%
ECTS (ALLOCATED BASED ON STUDENT WORKLOAD)
Activities Quantity Duration(Hours) Total Workload(Hours)
Course Duration (Including the exam week: 16x Total course hours) 16 3 48
Hours for off-the-classroom study (Pre-study, practice) 16 2 32
Mid-terms 1 10 10
Assignments 1 30 30
Final examination 1 15 15
Other 1 15 15
Total Work Load:
150
Total Work Load/25(h):
6
ECTS Credit of the Course:
6