ECON311 MONETARY THEORY AND POLICY
| Course Code: | 3110311 |
| METU Credit (Theoretical-Laboratory hours/week): | 3 (3.00 - 0.00) |
| ECTS Credit: | 6.5 |
| Department: | Economics |
| Language of Instruction: | English |
| Level of Study: | Undergraduate |
| Course Coordinator: | Prof.Dr. ELİF AKBOSTANCI ÖZKAZANÇ |
| Offered Semester: | Fall and Spring Semesters. |
Course Objectives
This course is designed to provide the students with an understanding of
- the role of money in the economy
- general state of the financial markets
- impact of financial markets on the domestic and international economic system
- monetary policy tools and strategies
- monetary transmission mechanisms
Course Content
Monetary theory and policy tools. An overview of the financial mechanism. Interest rate determination and the working of the capital market. Analysis of the demand and supply of money. Monetary transmission mechanism and monetary approach to balance of payments. Selected macro models in which money appears as an endogenous variable. Special applications to Turkey.
Course Learning Outcomes
Upon completion of this course students are expected
- to evaluate the role of the institutions of the financial system
- to asses the appropriate monetary policy strategy
- to understand the relationship between the monetary policy tools and monetary policy strategy
- to develop a perspective on the role and limits of the monetary policy in economic activity