Economics of Financial Institutions and Financial Systems

Recommended Prerequisites

Monetary Economics; Principles of Microeconomics.

Teaching Methods

Theoretical-practical sessions with 1) an expository part of presentation of models and theories and 2) resource to the presentation and discussion of reports and articles by the students. The theoretical-practical sessions are complemented with periods ofoffice hours
(individual assistance).

Learning Outcomes

The fundamental objective of this curricular unit is to provide students with analytical skills about the structure of financial markets and the role of financial institutions in financing the economy.
After attending this course, the student should be able to:
-To understand and analyze the role of the financial institutions in the economy and sustainable economic growth;
-To analyse models of financial intermediation with asymmetric information
- To identify and to analyze the various risk management issues of financial institutions, both individually and in systemic terms;
- To recognize the regulation of the financial system and to evaluate it as a constraint for the financial institutions.

Work Placement(s)

No

Syllabus

1. Financial institutions and financial intermediation
2. The financial sector and economic growth
3. Financial institutions and risk management
4. Financial institutions and sustainability issues
5. The role of the central bank
6. Financial institutions and regulation.

Head Lecturer(s)

Nuno Miguel Barateiro Gonçalves Silva

Assessment Methods

Assessment
Synthesis work: 40.0%
Frequency: 60.0%

Bibliography

CAO, Jin (2021). The Economics of Banking. Routledge.
DE HAAN, Jakob; SCHOENMAKER, Dirk; WIERTS, Peter (2020) Financial Markets and Institutions A European Perspective, 4th Edition.
SAUNDERS, Anthony, CORNETT, Marcia and ERHEMJAMTS, Otgo (2021)Financial Institutions Management: A Risk Management Approach, 10th Edition
FREIXAS, Xavier ; ROCHET, Jean-Charles — Microeconomics of banking. Cambridge, Mass. : MIT Press, 1997.
ECB's reports and publications (Financial Stability Review; Marcoprudential Bulletin), available on line
Research papers (according to the subject of the synthesis work)