International Finance

Syllabus

First Part

• Review of International Macroeconomic Models: 

  • Krugman, Obstfeld, and Melitz (2018) Cap. 1-2

  • Bekaert and Hodrick (2017) Cap. 1-3

  • Gopinath and Ishtoki (2022) "Dominant Currency Paradigm: a review" Handbook of International Economics, Volume 6, Chapter 2

• Exchange Rate Exposition:

  • Eun and Resnick (2015) Cap. 8-10

  • Bekaert and Hodrick (2017) Cap. 12-14

• Hedging Exchange Rate Risk

  • Bekaert and Hodrick (2017) Cap.  4, 9

  • Eun and Resnick (2015) Cap. 7

Second Part

• Exchange Rate Parity

  • Bekaert and Hodrick (2017) Cap.  5,

  • Krugman, Obstfeld, and Melitz (2018) Cap. 3

  • Du and Schreger (2022) "CIP deviations, the dollar, and frictions in international capital markets." Handbook of International Economics, Volume 6, Chapter 4

  • Engel (2014) "Exchange Rates and Interest Parity" Handbook of International Economics, Volume 4, Chapter 4

  • Froot and Rogoff (1995) "Perspectives on PPP and long-run real exchange rates" Handbook of International Economics, Volume 3, Chapter 32

• Exchange Rate Policy

  • Krugman, Obstfeld, and Melitz (2018) Cap. 7

  • Fanelli and Straub (2021) "A Theory of Foreign Exchange Interventions" The Review of Economic Studies, Volume 88, Issue 6.

  • Bianchi and Lorenzoni (2022) "The prudential use of capital controls and foreign currency reserves" Handbook of International Economics, Volume 6, Chapter 6

• Exchange Rate Forecasting

  • Bekaert and Hodrick (2017) Cap.  5,

  • Eun and Resnick (2015) Cap. 6

  • Cheung et al. (2019 ) "Exchange rate prediction redux: New models, new data, new currencies."  Journal of International Money and Finance, 95

  • Rossi (2013) "Exchange Rate Predictability", Journal of Economic Literature, 51, 4

  • Lilley, et al (2022) "Exchange Rate Reconnect". The Review of Economics and Statistics 104 (4)

Third Part

• Financing and Public Investment

  • Bernstein, et al  (2013). "The investment strategies of sovereign wealth funds". Journal of Economic Perspectives, 27(2)

  • Alhashel, B. (2015). "Sovereign wealth funds: A literature review" Journal of Economics and Business, 78

• Financing Innovation

  • Hall and Lerner (2010) “The financing of R&D and innovation” The Handbook of the Economics of Innovation, Cap 14

• Capital at Risk

  • De Bettignies, J. E., & Brander, J. A. (2007). "Financing entrepreneurship: Bank finance versus venture capital". Journal of Business Venturing, 22(6)

Final Grades

Exam  2

Exam 3