Globalization and Financial Crises (ECON458) | GSÜ

Content

Objective

This course introduces students to the key theoretical approaches for understanding the relationship between globalization and financial crises. Student participation is necessary,(70%).

Course Content

Undergraduate programme

Course Learning Outcomes

By the end of this course students wil be eable,
• identify business cycles by using leading indicators,
• establish a link between business cycles and financial crises,
• understand the influence of financial liberalisation on weak banking system,
• understand the reasons for recurrences of financial crises,
• learn about the international banking regulations concerning weak banking system (Basel I: II,III).

Teaching and Learning Methods

Theoretical

References

Course document and selected articles
DEES, Stephane Macroéconomie financière Dunot,2019.
BERR Eric (2019), Chapitre 10 : Crises financières et crise écologique. Macroéconomie ,pp.289-306, Dunod.
BURDA Michael; Wyplosz Charles; Macroéconomie une perspective européenne, de Boeck, 2003.
STIGLITZ Joseph; La grande désillusion, Le prix nobel d’économie, 2002

Weekly Contents

Theory Topics
Week	Weekly Contents
1	Introduction: Financial Globalization
2	Business cycles, identification of the cycles, deterministic and stochastic interpretation
3	Theory of the “ real conjectural cycles
4	Exchange rate Crises and Macroeconomic vulnerability: First generation crises, second generation crises and third generation crises
5	The Developing Country Debt Problems: Origin of debt crisis, structural characteristics of the indebted countries, capital flight.
6	Case Studies: financial globalization and crises: Banking and financial Crises,
7	The 1987 Crisis and Banking Panic: Contagion effect.
8	Financial Crises on Emerging Economies:
9	The 1997 Asian Crisis and 1998 Russian Crisis.
10	Latin American Crisis.
11	The Global Credit Crisis (2008-2009
12	Reforms on International Financial Systems: Basel I, Basel II..,
13	Crisis Management and International Interventions.
14	Students Homework Presentations.

Assessment System

Contribution to Overall Grade
Activities	Number	Contribution
Contribution of in-term studies to overall grade	3	50
Contribution of final exam to overall grade	1	50
Total	4	100

In-Term Studies
Activities	Number	Contribution
Assignments	1	10
Presentation	1	10
Midterm Examinations (including preparation)	1	30
Project	0	0
Laboratory	0	0
Other Applications	0	0
Quiz	5	10
Term Paper/ Project	0	0
Portfolio Study	0	0
Reports	0	0
Learning Diary	0	0
Thesis/ Project	0	0
Seminar	1	1
Other	0	0
Make-up	0	0
Total	9	61

Relation of Proficiency

No	Program Learning Outcomes	Contribution
No	Program Learning Outcomes	1	2	3	4	5
1	Demonstrate a basic knowledge of different economic theories and main discussions driving current theoretical approaches					X
2	Demonstrate ability to use basic qualitative and quantitative methods to asses different economic questions of applied fields
3	Show a sound understanding of current economic discussions and problems					X
4	Have an effective and clear communication in written and oral formats in different public and professional contexts.
5	Demonstrate basic knowledge of the world economic history and a sound knowledge of the Turkish economic history
7	Demonstrate knowledge of standard quantitative techniques and empirical models used in economics
8	Show ability to apply basic economic theory to an applied topic				X
9	Show a basic understanding of analytical methods, both theory- and model-based
10	Show ability to use economic concepts to discuss current economic issues					X
11	Reason logically and work analytically				X
12	Show awareness on social aspects of the economics in different applied and theoretical fields
13	Identify appropriate economic models to analyse problems				X
16	Show understanding of basic statistical and econometric concepts and ability to apply basic concepts to own empirical work
17	Demonstrate a sound knowledge of the current economic issues in Turkey and a general knowledge of the issues in the world economy				X

ECTS

Activities	Number	Period	Total Workload
Class Hours	14	3	42
Working Hours out of Class	14	3	42
Assignments	1	4	4
Presentation	10	3	30
Midterm Examinations (including preparation)	1	4	4
Project	0	0	0
Laboratory	0	0	0
Other Applications	2	2	4
Final Examinations (including preparation)	1	8	8
Quiz	4	1	4
Term Paper/ Project	0	0	0
Portfolio Study	0	0	0
Reports	0	0	0
Learning Diary	3	4	12
Thesis/ Project	0	0	0
Seminar	1	1	1
Other	0	0	0
Make-up	0	0	0
Total Workload			151
Total Workload / 25			6.04
Credits ECTS			6