Macroeconomics & Intl. Finance

Ugo Panizza

IA089 | Spring | 6ECTS

The course covers some of the most important and controversial topics in economics. How are exchange rates determined? What are the differences between the conduct of economic policy under fixed and floating exchange rates? Is one exchange rate regime better than the other? Are trade deficits harmful? What are the drivers of international capital flows and the roots of balance of payment crises? Do countries manipulate their exchange rate, and if so why? The course will apply economics tools to discuss real-world events such as the crisis of the euro and to evaluate potential latent vulnerabilities in the world economy. The course will mostly use graphical analysis. There are no requirements in terms of advanced mathematics.