ECC3660 · Business cycle fluctuations and monetary policy

Overview

The unit develops and examines the theoretical and empirical relationship between monetary policy, real activity, and the financial markets. A rigorous theoretical framework will be developed to analyse conventional and unconventional monetary policy, and their effects on the real economy. The analysis of the conduct of monetary policy will be developed in the context of a New Keynesian economic model. Recent examples and challenges of monetary policy conduct will be discussed with the help of the theoretical tools developed in the unit. The response of monetary policy in recent deep recessions, like the 2007-2009 great recession and the recession that followed the Covid-19 outbreak, will be examined.

Offerings

Assessment

The Handbook lists an examination for this unit.

Assessment details may change. Please refer to the assessment information in Moodle closer to the start of the teaching period.

Requisites

Learning outcomes

1. develop rigorous economic analysis to assess contemporary monetary theory and policy
2. discuss the use of empirical and theoretical models to assess the conduct of monetary policy
3. develop theoretical frameworks to understand the factors governing the relationship between monetary forces and economic activity
4. understand the principles, techniques and problems of implementing conventional and unconventional monetary policies
5. critically assess current controversies in monetary policy.

Workload

Minimum total expected workload to achieve the learning outcomes for this unit is 144 hours per semester typically comprising a mixture of scheduled learning activities and independent study. Independent study may include associated readings, assessment and preparation for scheduled activities. You are expected to complete all pre-class activities prior to your scheduled class, and post-class activities should be completed after your scheduled class. Learning activities may include a combination of teacher directed, peer directed and online engagement activities.

Student experience, not official rules. Nothing here changes what the Handbook says.