Module FINN1061: Introduction to Financial Economics

Department: Finance

FINN1061: Introduction to Financial Economics

Tied To

• N305: Finance
• N306: Finance with Placement Year
• N307: Finance with Study Abroad
• N311: Accounting and Finance
• N312: Accounting and Finance with Placement Year
• N313: Accounting and Finance with Study Abroad
• N408: Accounting
• N409: Accounting with Placement Year
• N410: Accounting with Study Abroad

Pre-requisites

Corequisites

Excluded Combinations

Aims

• To introduce the principles of economic theory for microeconomics and macroeconomics in a financial context.

Content

• Introduction to Financial Economics,
• Essential elements of economics: Supply, Demand, Equilibrium and Utility
• Principles of microeconomics: consumers in the marketplace; firms in the marketplace; markets in action; market structure, firm performance and competition.
• Principles of macroeconomics: economic growth; international trade; unemployment; inflation; fiscal and monetary policy; exchange rates.
• The financial markets and the economy: Economics of equity and debt markets.

Learning Outcomes

• Demonstrate an understanding of the basic principles of economics in a financial context.
• Gain knowledge and understanding of the key theories in microeconomics and macroeconomics in a financial context.
• Explain fundamental macro-economic models and interrelationships and how they are affected by change.

• Be able to apply economic frameworks to the analysis of financial decision making by firms and/or individuals and construct fundamental macro-economic models.
• Be able to use appropriate techniques for financial economic analysis, use critical thinking skills to apply knowledge from an international perspective and, apply principles learnt to real life financial situations.

• Problem Solving and Analysis - by applying the necessary analytical and quantitative skills, as well as the ability to demonstrate understanding and manipulate core concepts in financial economics.
• Numeracy - by applying core mathematical and statistical skills to answer a range of questions.
• Planning and Organisation and Time Management - by revising relevant material and preparing for the assessment.
• Computer Literacy - by accessing, and downloading teaching material from Blackboard, undertaking bibliographical searches, and information retrieval for classes and assessment.

Modes of Teaching, Learning and Assessment and how these contribute to the learning outcomes of the module

• Teaching is by lectures and workshops.
• Learning takes place through attendance at lectures, preparation for and participation in workshop classes and private study.
• Formative assessment is by means of a practice test.
• Summative assessment is by means of an online test in term and a written assignment..

Teaching Methods and Learning Hours

Summative Assessment

Formative Assessment

Weekly online quiz tests