The Economics Department

Saroj Bhattarai


Assistant ProfessorPh.D., Princeton University

Saroj Bhattarai

Contact

Courses


ECO 339L • International Finance

34370 • Spring 2020
Meets MW 2:00PM-3:30PM GAR 2.112

HOW FOREIGN EXCHANGE RATES ARE DETERMINED, WHY NATIONAL INTEREST RATES DIFFER, WHY RISK IS INHERENT WHEN TRADING IN INTERNATIONAL FINANCE MARKETS, AND THE ROLE OF INTERNATIONAL ORGANIZATIONS SUCH AS THE INTERNATIONAL MONETARY FUND IN CRISIS MANAGEMENT.

PREREQUISITE: ECONOMICS 420K AND 320L WITH A GRADE OF AT LEAST C- IN EACH.

The typical questions addressed in this class are: Why do countries engage (increasingly) in trade? What factors affect trade flows? Is trade always good for everybody? Should we manage trade flows and if so, do quotas, subsidies and tariffs make sense? What is a balance-of-payments crisis and what happened in 1971-73? How are exchange rates determined, anyways? Who and what factors determine the exchange rate? What role does the Federal Reserve and capital markets play? What are the main characteristics of international capital / financial markets? The class covers the two aspects of trade: real (physical flows, 1/3 of the class) and monetary (exchange rate, money, institutions, policies, 2/3 of the class). We concentrate on theories (normative, long run) as well as on policies (positive, short run). Numerous real-world examples are taken and current policy debates are explored; the illustrations include trade with China, the repercussions of the ongoing world crisis, the value of the dollar… you name it. The objective of the class is to enrich your mind in two ways. First you will learn new definitions, tools, models and the accompanying illustrations. Second you will use those tools to think analytically and critically about the economic situations and issues that surround us. Given the topic and news, class participation and critical thinking are encouraged.

ECO 339L • International Finance

33740 • Spring 2018
Meets MW 2:00PM-3:30PM BUR 108

HOW FOREIGN EXCHANGE RATES ARE DETERMINED, WHY NATIONAL INTEREST RATES DIFFER, WHY RISK IS INHERENT WHEN TRADING IN INTERNATIONAL FINANCE MARKETS, AND THE ROLE OF INTERNATIONAL ORGANIZATIONS SUCH AS THE INTERNATIONAL MONETARY FUND IN CRISIS MANAGEMENT.

PREREQUISITE: ECONOMICS 420K AND 320L WITH A GRADE OF AT LEAST C- IN EACH.

The typical questions addressed in this class are: Why do countries engage (increasingly) in trade? What factors affect trade flows? Is trade always good for everybody? Should we manage trade flows and if so, do quotas, subsidies and tariffs make sense? What is a balance-of-payments crisis and what happened in 1971-73? How are exchange rates determined, anyways? Who and what factors determine the exchange rate? What role does the Federal Reserve and capital markets play? What are the main characteristics of international capital / financial markets? The class covers the two aspects of trade: real (physical flows, 1/3 of the class) and monetary (exchange rate, money, institutions, policies, 2/3 of the class). We concentrate on theories (normative, long run) as well as on policies (positive, short run). Numerous real-world examples are taken and current policy debates are explored; the illustrations include trade with China, the repercussions of the ongoing world crisis, the value of the dollar… you name it. The objective of the class is to enrich your mind in two ways. First you will learn new definitions, tools, models and the accompanying illustrations. Second you will use those tools to think analytically and critically about the economic situations and issues that surround us. Given the topic and news, class participation and critical thinking are encouraged.

Curriculum Vitae


Profile Pages


External Links