Handbook home
Economics of Financial Markets (ECON30024)
Undergraduate level 3Points: 12.5Not available in 2018
Overview
Fees | Look up fees |
---|
The subject is a combination of principle and practice. It provides an overview of the economic principles governing financial markets; then provides insights into some important empirical and practical issues concerning the operation of financial markets; and concludes with a discussion of some practical issues associated with Australian financial markets.
Intended learning outcomes
- Explain and analyse the role of capital markets in consumption and investment decision-making under conditions of certainty and uncertainty.
- Explain how economic theory applies to financial markets.
- Describe how economic theory can provide testable restrictions on financial data.
- Analyse the main empirical results that have been established for financial markets.
- Critically evaluate economic policy issues associated with financial markets.
- Synthesise different theories and ideas, such as alternative models of asset pricing and portfolio allocation.
- Apply theories to the real world - how the shape of yield curves can be used to forecast inflation in Australia for example.
- Evaluate the relevance of competing theories. For instance, the extent to which alternative analyses can be used to predict the market price of different countries.
Generic skills
-
High level of development: written communication; problem solving; application of theory to practice; interpretation and analysis; critical thinking; synthesis of data and other information; evaluation of data and other information.
-
Moderate level of development: oral communication; collaborative learning; team work; statistical reasoning; accessing data and other information from a range of sources; receptiveness to alternative ideas.
-
Some level of development: use of computer software.
Last updated: 22 March 2024
Eligibility and requirements
Prerequisites
Both of the following:
Code | Name | Teaching period | Credit Points |
---|---|---|---|
ECON20002 | Intermediate Microeconomics |
Semester 1 (On Campus - Parkville)
Summer Term (On Campus - Parkville)
|
12.5 |
ECON20001 | Intermediate Macroeconomics | Semester 2 (On Campus - Parkville) |
12.5 |
AND one of:
Code | Name | Teaching period | Credit Points |
---|---|---|---|
ECOM20001 | Econometrics 1 |
Semester 2 (On Campus - Parkville)
Semester 1 (On Campus - Parkville)
|
12.5 |
ECON20003 | Quantitative Methods 2 |
Semester 1 (On Campus - Parkville)
Summer Term (On Campus - Parkville)
Semester 2 (On Campus - Parkville)
|
12.5 |
Corequisites
None
Non-allowed subjects
None
Recommended background knowledge
Please refer to Prerequisites and Corequisites.
Inherent requirements (core participation requirements)
The University of Melbourne is committed to providing students with reasonable adjustments to assessment and participation under the Disability Standards for Education (2005), and the Assessment and Results Policy (MPF1326). Students are expected to meet the core participation requirements for their course. These can be viewed under Entry and Participation Requirements for the course outlines in the Handbook.
Further details on how to seek academic adjustments can be found on the Student Equity and Disability Support website: http://services.unimelb.edu.au/student-equity/home
Last updated: 22 March 2024
Assessment
Additional details
- A 2-hour end-of-semester examination (60%)
- Class assignments totalling approximately 3000 words due in weeks 3 and 12 (15%)
- A 1-hour mid-semester examination in week 6 (15%)
- Participation in tutorials throughout the semester (10%)
- To pass this subject students must pass the end of semester examination.
Last updated: 22 March 2024
Dates & times
Not available in 2018
Time commitment details
170 Hours
Last updated: 22 March 2024
Further information
- Texts
Prescribed texts
You will be advised of prescribed texts by your lecturer.
- Related Handbook entries
This subject contributes to the following:
Type Name Course Master of Commerce (Finance) Major Economics Informal specialisation Economics - Breadth options
This subject is available as breadth in the following courses:
- Available through the Community Access Program
About the Community Access Program (CAP)
This subject is available through the Community Access Program (also called Single Subject Studies) which allows you to enrol in single subjects offered by the University of Melbourne, without the commitment required to complete a whole degree.
Entry requirements including prerequisites may apply. Please refer to the CAP applications page for further information.
Last updated: 22 March 2024