COURSE INFORMATION Course Title: MONETARY THEORY AND POLICY II

Code	Course Type	Regular Semester	Theory	Practice	Lab	Credits	ECTS
ECO 332	B	6	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:	Chrysanthi Balomenou , 9:30-17:30
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:	Compulsory
Classroom and Meeting Time:	E314
Course Description:	Monetary Theory and Policy II: Determining, implementing, and evaluating monetary and fiscal policy; effect on the economy, monetary targets and indicators; role of interest rates in understanding monetary policy, the effects of monetary policy on different sectors; role of fiscal policy in the economy.
Course Objectives:	The aim of this Thematic Subject is mainly to provide the students a clear understanding of the following concepts and mechanisms: -The economic significance, the definitions and the types of money, the quantity and the value of money as well as the determinants which affect the demand and the supply of money. - The operation of the financial system both within a closed as well as in open economy.

COURSE OUTLINE

Week	Topics
1	Money (Functions, qualities, theoretical and empirical definitions)
2	Money supply.
3	Money Demand and relevant theories
4	IS-LM curve and Taylor Rule
5	International Economic Policy and Foreign Exchange Markets
6	Optimum currency areas
7	Revision
8	Midterm
9	Group presentations
10	Regulatory framework of international banking
11	Markets in Financial Instruments Directive - ΜiFID
12	Money Laundering
13	Liquidity
14	Novels of Basel Capital III

Prerequisite(s):
Textbook:	Principles of money, banking and financial systems, Edward T. Merkel (2009)
Other References:	The principles of banking, Moorad Choudhry (2012) Principles of banking law, 3rd edition, Ross Cranston, Emilios Avgouleas, Kristin van Zwieten, Christopher Hare, Theodor van Sante
Laboratory Work:
Computer Usage:
Others:	No

COURSE LEARNING OUTCOMES

1	Explain the definition and role of money in an economy and describe in detail the different types of money.
2	Review and analyze the main factors and theories determining and governing demand for money and money supply in a modern economy
3	Assess and critically compare local and international money and capital markets as well as intermediation in these markets.
4	Articulate and discuss the way in which the monetary system and financial institutions are controlled and supervised.
5	Analyze the structural characteristics of the financial system, as well as the instruments of monetary policy.
6	Discuss the merits of the alternative exchange rate systems and how they affect the implementation and effectiveness of monetary policy.
7	Illustrate the fundamental role and the criterion in order for a currency area to be characterized as an optimum one.
8	Present the work of Basel Committee on Banking Supervision (Basel I, II, III).
9	Identify the importance of the balance of payments accounts and how they interfere with the domestic monetary processes
10	Discuss the merits of the alternative exchange rate systems and how they affect the implementation and effectiveness of monetary policy. Analyze the characteristics case of optimum currency areas

COURSE CONTRIBUTION TO... PROGRAM COMPETENCIES (Blank : no contribution, 1: least contribution ... 5: highest contribution)

No	Program Competencies	Cont.
Bachelor in Banking and Finance (3 years) 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 banking and finance but also to construct a model and defend in meaningful way.	5
2	They have knowledge about the finance and banking.	5
3	They have knowledge about the money and banking.	5
4	They have knowledge about the international finance and banking.	5
5	They have ability to use mathematical and statistical methods in banking and finance.	5
6	They know how to use computer programs in both daily office usage and statistical data evaluations in banking and finance department.	5
7	They have necessary banking and finance skills that needed in private and public sector.	5
8	They are intended to be specialist in one of departmental fields that they choose from the list of general economics, finance economics, public finance, corporate finance, finance management, international finance markets and institutions, banking and central banking, international finance and banking, money and banking, international trade and banking.	5
9	They have ability to utilize fundamental economic theories and tools to solve economic problems in banking and finance.	5
10	They are aware of the fact that banking and finance 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	30
Project	1	20
Final Exam	1	45
Attendance		5
	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	4	64
Hours for off-the-classroom study (Pre-study, practice)	10	2	20
Mid-terms	1	12	12
Assignments	1	10	10
Final examination	1	14	14
Other	1	5	5
Total Work Load:			125
Total Work Load/25(h):			5
ECTS Credit of the Course:			6