ELE 3732 Financial Bubbles, Crashes and Crises
ELE 3732 Financial Bubbles, Crashes and Crises
The US. Sub-Prime crisis and the subsequent global financial crisis have contributed to a deep and prolonged recession in the global economy. What were the causes of the recent financial crisis? Why did it spread so rapidly internationally? How have authorities in affected countries dealt with them?
There are different and often competing theories about the causes, effects and how to deal with financial crises. The course will provide an overview of the varying approaches and schools of thoughts on financial instability. Furthermore, the course will focus on a selection of historical cases on financial crashes and crises in order to demonstrate differences as well as similarities between recent and past crises.
Since financial crises affect most areas of the economy, knowledge about them is of importance to most people who work on economic issues.
The students shall acquire a broad base of theoretical and empirical knowledge on financial stability and financial crises in a historical perspective. The students will also learn about regulatory issues and central aspects of crisis management in the past and how they relate to current problems.
The students will acquire skills necessary to distinguish between different theories about causes and effects of financial crises, and apply this knowledge for analytical purposes. Moreover, students will obtain the skills to work on tasks within supervision, the development of financial structure, ratings and the rating industry, etc. Acquired knowledge will also be important for management tasks in business and the civil service.
On completion of the course the students will have a solid basis for ethical reflection upon ethical dilemmas connected to unfolding financial crises and have developed ability for critical theoretical and methodological reflection.
The coursewill address the following themes:
- Theories on financial crises
- Minsky-Kindleberger
- The Monetarist school
- Other approaches
- Domestic debt and sovereign debt crises
- Regulation and supervision
- Four historical and comparative cases
- The Nordic banking crises, 1987-1995
- The Wall-street crash, the great depression and the crises of the 1930s
- The Scandinavian banking crises of the 1920s
- The US. subprime crisis 2007-2009 and the subsequent global financial crisis
The course consists of lectures, casework/assignments and presentations.
For electives re-sit is normally offered at the next scheduled course. If an elective is discontinued or is not initiated in the semester it is offered, re-sit will be offered in the electives ordinary semester.
Higher Education Entrance Qualification.
No specific prerequisites required.
| Assessments |
|---|
Exam category: Submission Form of assessment: Written submission Invigilation Weight: 100 Grouping: Individual Support materials:
Duration: 5 Hour(s) Exam code: ELE37321 Grading scale: ECTS Resit: Examination when next scheduled course |
| Activity | Duration | Comment |
|---|---|---|
Teaching | 36 Hour(s) | |
Feedback activities and counselling | 8 Hour(s) | |
Group work / Assignments | 25 Hour(s) | Casework and assignments |
Prepare for teaching | 6 Hour(s) | Preparation for presentations |
Student's own work with learning resources | 120 Hour(s) | |
Examination | 5 Hour(s) |
A course of 1 ECTS credit corresponds to a workload of 26-30 hours. Therefore a course of 7,5 ECTS credit corresponds to a workload of at least 200 hours.