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Course Descriptions - Hong Kong Baptist University - Academic ...

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310<strong>Course</strong> <strong>Descriptions</strong>working of the economy, the emphasis of the empirical techniquesallow students to estimate the economic models and enable themto make use insights for the most current economic studies into theeffect of government policy on the economy. With the building ofknowledge on both qualitative and quantitative macroeconomics,students are equipped with tools needed for understanding andconducting macroeconomic policy analysis.ECON 7140 Applied Econometric Analysis (3,3,0)This course aims at covering graduate level applied econometrictechniques to quantitatively solve empirical economic problems.In addition to the classical linear regression model, hypothesistesting and problems of non-spherical disturbances, moreadvanced topics are also considered. Students will be trainedto formulate econometric models and to identify the causalrelationships between economic variables using computersoftware. The emphasis is upon the interpretation and testing ofresults from different econometric estimation procedures. Studentswill also be provided with practical experience of applying thesetechniques to quantitatively solve empirical problems that arise ineconomics and business.ECON 7210 International Trade (3,3,0)This course aims to provide an up-to-date and understandableanalytical framework for illustrating current events of internationaltrade. Most of the time will be devoted to understand the classicalas well as modern theories of international trade, trade policyand international economic integration. Topics in internationaleconomics with an emphasis on current issues like globalization,financial crisis, regionalism, will then be studied.ECON 7220 International Finance (3,3,0)This course provides students with an understanding ofinternational finance concepts and applied techniques tointernational financial management and investment. This coursefocus on the foreign exchange markets and international capitalmarkets, and understand how international firms make financialdecisions of foreign investment, and measure foreign exchangerisk in the present global financial environment. The course isorganized in three parts: (1) introduction of international financialenvironment and the important international macroeconomicconcepts; (2) understanding the foreign exchange rate market,the exchange rate determinations with its theoretical analysis andforecasting, and the foreign exchange risk and its management;and (3) focus on international portfolio investment strategies andthe exchange risk management.ECON 7230 Monetary Economics (3,3,0)This course discusses the impacts of money demand and moneysupply, and therefore monetary policies on output, employment,and inflation. The role of central bank and its interaction withfirms and workers, more specifically, how it should carry outmonetary policies in face of the rational expectations of theseeconomic agents in the private sector, will be evaluated. Inaddition, under the rapid globalization, impacts of one country’smonetary policy on exchange rates and other country’s economieswill also be studied. After taking this course, students are expectedto be able to explain different phenomenon of the macro-economyand make forecasts about the basic macro-economic trends.ECON 7240 Economic Development and Growth (3,3,0)The aim of this course is to examine the driving forces andmechanisms of economic development and growth. We willexplain and discuss economic models and perspectives ondevelopment and growth, go through the empirical findings onthe issues and assess the difference and growth potentials acrosscountries.ECON 7250 Financial Economics (3,3,0)This course provides an introduction to financial economics. Thetopics include an introduction of capital markets, consumptionand investment, capital budgeting, the theory of choice, valuationof securities, portfolio analysis, bond analysis, options and futuresmarkets, International Financial Management, and EfficientCapital Markets. It will also provide students with knowledgeand skills in applications of modern finance theory to riskmanagement and other issues in economics and financial markets.Applications of the theory are emphasized throughout the course.ECON 7260 Economic Analysis of the Firm (3,3,0)This course introduces theories that explain the sizes, scopes,internal structures, and the kinds of contractual relations thatcharacterize business firms. Issues addressed include: why firmsexist, how firms are established, and what contributions firmsmake to the economy. The course provides innovative models ofeconomic equilibrium that endogenously determine the structureand function of economic institutions. The entrepreneur as adecision maker is analysed in details. In addition to the role ofa producer, the firm as an intermediary and as a market maker isalso discussed.ECON 7270 Topics in Microeconomics (3,3,0)This course aims at bringing current development ofmicroeconomics to students. The topics may vary from yearto year, depending on the research and teaching interest ofinstructors. Those topics are usually not covered or covered onlybriefly in ECON 7120. Some examples of topics are: theory ofincentives, theory of organizations, mechanism design, modellingmulti-person strategic behaviour, general equilibrium, modellingmulti-output production, etc. Three to five topics will be coveredthoroughly in one semester.ECON 7280 Topics in Macroeconomics (3,3,0)This course educates students in knowing the latest developmentof macroeconomics. The topics may vary from year to year,depending on the research and teaching interest of instructors.Some examples of topics are (1) how macroeconomic theoriescan be used to understand the complex relationships of a modernmarket economy, (2) why fluctuations and sometimes crisis mayoccur in an economy and (3) how government policies maybe used to stabilize the functioning of an economy. Currentmacroeconomics issues will be discussed, too, for example, thecauses and remedies of (l) the financial crisis of 2008, (2) the Eurocrisis and (3) the long-term stagnation in Japan.ECON 7310 Economic Institutions in China (3,3,0)This course studies key economic institutions of China that haveemerged in the course of transition from a planned to a marketeconomy. These institutions are not necessarily the first-bestchoices from the perspective of conventional theories of marketeconomy, but they might overcome some typical institutionalweaknesses of transitional economies. They include the doubletrackpricing and allocation system, local government ownershipof firms, fiscal decentralization and yardstick competition amongdifferent regional jurisdictions, etc. Drawing on the majorcontributions in the economics literature, the costs and benefits ofadopting these institutions by China will be analysed.ECON 7320 Public Finance and Monetary (3,3,0)Economics in ChinaThis course aims at providing an in-depth understanding of thefunctions and the performance of China’s fiscal, monetary andexchange rate systems, as well as their impact on the economy.After explaining major trends in those changing regimes, theirdevelopments in the post-1994 and post-2001 periods are analysed,using theoretical models and econometric techniques to tacklecritical issues.Regarding the fiscal system, the course emphasizes topics suchas central-local intergovernmental relations, the transition fromcontracts to tax assignment, and the impact of patterns oftaxation and public expenditure on macroeconomic developmentand income distribution, amongst others. Sterilization operationsfor a semi-open monetary regime and increasing flexibility of theexchange rate form the foci for discussion of the challenges facingthe People’s Bank of China, on top of the reforms of monetarytools and capital account liberalization.

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