The Economics of Finance
Listed in: Economics, as ECON-423
Formerly listed as: ECON-63
Moodle site: Course (Login required)
Geoffrey R. Woglom (Section 01)
A study of the role of financial markets in the efficient allocation of resources. We look at how financial markets: (1) enable the transfer of resources across time and space; (2) facilitate the reduction and management of risk; and (3) provide information about the future, which is important to public policymakers as well as private firms and individuals. The financial theories studied include: (1) the theory of present discounted values; (2) the capital asset pricing model; (3) the efficient markets hypothesis; and (4) the Black-Scholes model for the pricing of contingent claims.
Requisite: ECON 300 or 301. Limited to 35 students. Fall semester. Professor Woglom.
Offerings2013-14: Not offered
Other years: Offered in Spring 2009, Spring 2010, Fall 2012, Fall 2014