0541 Specialization Course - Money and the Economic Cycle
ao.Univ.Prof. Dr. Guido Schäfer
Contact details
  • Type
  • Weekly hours
  • Language of instruction
09/16/21 to 09/23/21
Registration via LPIS
Notes to the course
Subject(s) Bachelor Programs
Day Date Time Room
Monday 10/11/21 11:00 AM - 01:00 PM TC.5.27
Wednesday 10/13/21 02:00 PM - 04:00 PM TC.3.03
Monday 10/18/21 11:00 AM - 01:00 PM TC.5.27
Wednesday 10/20/21 02:00 PM - 04:00 PM D4.0.022
Wednesday 11/03/21 02:00 PM - 04:00 PM TC.2.03
Monday 11/08/21 11:00 AM - 01:00 PM TC.4.01
Wednesday 11/10/21 02:00 PM - 04:00 PM D4.0.022
Monday 11/15/21 11:00 AM - 01:00 PM TC.4.01
Wednesday 11/17/21 02:00 PM - 04:00 PM D5.0.002
Monday 11/22/21 11:00 AM - 01:00 PM TC.5.27
Wednesday 11/24/21 02:00 PM - 04:00 PM Online-Einheit
Monday 11/29/21 11:30 AM - 01:30 PM Online-Einheit
Wednesday 12/01/21 02:00 PM - 04:00 PM Online-Einheit
Monday 12/13/21 11:00 AM - 01:00 PM Online-Einheit
Wednesday 12/15/21 02:00 PM - 04:00 PM Online-Einheit
Monday 12/20/21 11:00 AM - 01:00 PM Online-Einheit
Wednesday 12/22/21 02:00 PM - 04:00 PM Online-Einheit
Monday 01/10/22 11:00 AM - 01:00 PM TC.3.21
Wednesday 01/12/22 02:00 PM - 04:00 PM EA.6.026
Monday 01/17/22 11:00 AM - 01:00 PM TC.3.21
Wednesday 01/19/22 02:00 PM - 04:00 PM TC.4.27
Monday 01/24/22 11:00 AM - 01:00 PM D4.0.022


The course consists of two major parts. In the first half of the semester the focus is on financial markets and institutions. The second half of the course focuses on money and monetary policy. Throughout the semester current developments in the monetary sector and financial markets are discussed. Recent financial crises and the current Covid crisis are analyzed from ´the persepctive of monetary policy and financial regulation

Part 1: Financial Markets and Institutions

  • Understanding risk and return
  • Stock markets and bond markets
  • Portfolio decisions
  • Asset pricing and financial bubbles
  • Banking theory and regulation
  • Financial crises and financial regulation

Part 2: Money

  • Why money? Foundations of monetary theory
  • Monetary policy transmission
  • Money and business cycles
  • New frameworks for monetary and financial stability

Current Topics

  • Cryptocurrencies
  • Central bank strategy reviews
  • Monetary policy in the Covid crisis



Learning outcomes

In this course students acquire the skills necessary

  • to understand fundamental concepts about money, the financial sector, and their interaction with the economy,
  • to apply their knowledge to financial investment decisions,
  • to analyze monetary policy and its impact on the economy,
  • to understand key issues regarding financial crises and financial regulation,
  • to assess financial reform after the recent world financial crisis,
  • to read original scientific research papers about money and the financial sector published by internationally renowned top researchers,
  • to access web resources providing key information about money and financial markets,
  • to get adequately prepared for writing a bachelor's thesis about a monetary or financial topic.

The ultimate goal of the course is to strengthen the analytical ability of students to understand complex financial issues both at a conceptual and practical level by using state-of-the-art methods and tools.

Attendance requirements

The attendance requirement is met if a student is present at least 80% of the time at class and online meetings.

Teaching/learning method(s)

The backbone of the course is a series of original scientific papers written by renowned economists on money and the financial sector. Early on students are introduced to reading original research papers which opens up a challenging but fascinating intellectual universe for their own independent studies. Smart use of computer and web resources is encouraged. The course is planned to take place mainly on-campus in the winter term 2021, but online units may also be flexibly scheduled.

  • Students will work through papers assigned over the course of the semester.
  • Audio slides on those papers (i.e. PowerPoint slides with comments by the course instructor) help to understand the material.
  • Papers will be discussed in class, augmented by supplementary material.
  • Students write essays on home assignments related to the papers and collect points for participating in the discussions at the meetings.


Grading: 80% essays (each essay is is equally weighted) , 20% direct participation


1 Remarks: Links to original research papers from the web are provided in class over the course of the semester.

Recommended previous knowledge and skills

The course is self-contained. Key concepts and tools are explained in the course. Prior knowledge in microeconomics, macroeconomics and econometrics is recommended.

Availability of lecturer(s)

E-Mail:, Office hours: Thursday, 4.00-5.00 p.m., Tel.: + 43 1 31336 4579



Last edited: 2021-09-22