This course provides an in-depth analysis of monetary policy and the financial sector at the graduate level.

• Foundations of Monetary Policy and the Financial Sector
• Conventional and Unconventional Monetary Policy
• Macroprudential Policy
• Monetary Policy in Macro Models with Financial Frictions
• Inflation and Deflation
• Financial Crises and Policy Reforms
• Secular Stagnation, Liquidity Traps, and Unconventional Monetary Policy
• The Financial Architecture of the Eurozone
• Digital Money and Cryptocurrencies
• Current Topics

In January a workshop will be held with Aurel Schubert (Former Director General Statistics, European Central Bank) and an international Guest Lecturer on a current Topic in Monetary Policy and the Financial Sector. In recent years, Jürgen Stark (former chief economist of the ECB) talked about unconventional monetary policy and the inflation outlook, Hans-Helmut Kotz (former member of the executive board, Deutsche Bundesbank) discussed European Banking Union, Stefan Gerlach (former Vice-Governor, Bank of Ireland) talked about the Euro at 20, for example.

The course develops students' skills in monetary and financial economics to

• acquire a deeper understanding  of monetary policy and the financial sector from a theoretical, empirical, and policy perspective,
• gain insights into current economic crises and the role of monetary policy and financial regulation,
• understand the formal theoretical and empirical models underpinning modern monetary policy,
• critically discuss current policy issues with renowned policymakers and experts,
• read and understand original research papers in economics,
• get prepared for writing a master's thesis.

Pursuant to the general guidelines issued by the Vice-Rector for Academic Programs and Student Affairs, the attendance requirement is met if a student is present at least 80% of the time.

The course centers on reading original research papers in monetary and financial economics written by renowned economists and discussing them in class. Students prepare the papers at home in advance. Lectures held by the instructors classroom discussions and practical exercises deepen the understanding of the materials.

The course is tightly integrated with the accompanying Research and Policy Seminar.

Grading: 50% essays , 20% class participation, 30% paper and presentation at workshop

E-Mail: guido.schaefer@wu.ac.at

Tel.: + 431 31336 4579

Office Hours: Thursday, 4-5 p.m.

Students taking the accompanying Research and Policy Seminar should also take this course.