Introduction to Financial Economics
Major theories underlying financial economics: arbitrage, market efficiency, Fisher’s separation theorem. Topics include: impact of cyclical fluctuations on consumption, investment, and financial decisions of consumers/firms, monetary policy and interest rate determination, loans for durables, mortgage loans, bond/stock valuation, investment-decision criteria, risk-return trade-offs, cost-of-capital analysis.
Topics
- impact of cyclical fluctuations on consumption
- investment
- financial decisions of consumers/firms
- monetary policy and interest rate determination
- loans for durables
- mortgage loans
- bond/stock valuation
- investment-decision criteria
- risk-return trade-offs
- cost-of-capital analysis
Course catalogue
Prerequisites & course information
Prerequisite(s): ECON 1001 and ECON 1002 each with a grade of C- or higher, or FYSM 1003 with a grade of C- or higher, ECON 1401 and ECON 1402 , (or equivalent department-approved MATH course pair with a grade of C- or higher in each), and one of ( BUSI 1001 , BUSI 1003 , BUSI 1005 , BUSI 2008 ) with a grade of C- or higher. Lectures three hours a week.
Sources
- Course catalogue ↗2026–2027