Economics 70.1—Section TF9 Money and Banking Tuesday and Friday 9:25 am – 10:40 am Whitehead Hall 207 Instructor: A. Neveu, ANDRE@ANEVEU.COM TEXT: Mishkin, Frederic S. The Economics of Money, Banking and Financial Markets plus MyEconLab plus eBook 8th Edition, Addison‐Wesley, 2007 ISBN 0321415051. Additionally, Aplia is required. Please note, that MyEconLab is not required for the course, but that purchase of a new text may give you access to an online eBook so that you do not have to carry your text everywhere with you. Additionally I will repeat, if you are taking this course, Aplia is required at a cost of $28 for this course. Instructions for accessing the Aplia website are at the end of the syllabus. If you buy a used book, you can purchase the Aplia subscription separately, but it is the SAME PRICE. If you have any questions about this we can discuss it outside of class. The book will be followed closely for much of this course, so it might be helpful to bring your printout or book to class with you. COMMUNICATION: Office hours are Tuesday from 12:30 to 2:00 by appointment only. To contact me outside of class, I can be emailed at andre@aneveu.com. It is very important that you send me an email to this address before the next class. I will periodically send messages to your email address regarding the class. Get in the habit of checking your email. EXAM AND CHEATING POLICY: There are no make‐up exams for the course, and each exam is mandatory. If you miss an exam for any reason at all you get a zero, no excuses. Make up arrangements are only possible if you miss an exam for a major and verifiable reason. Cheating and plagiarism will not be tolerated. If you are caught cheating or plagiarizing, you will be given a zero for the exam and reported. There are no cell phones, bathroom breaks, or graphing calculators allowed during exams. Purchase a cheap “5‐function” or scientific calculator for the exams. You cannot take exams in any other section of this course. The exams will not be the same, and cannot be substituted for exams in this class. TAKE RESPONSIBILITY: Too many students have made a habit of putting the burden of their success on their instructors. This is not a course where this habit will be successful. Learn how to use Aplia, my website, and the Brooklyn College resources. Under no circumstance will I email you concerning your grades. Only in the case of a legitimate scoring or grading error will grades be discussed. I will NOT DEBATE grades with any student. If you need a certain grade in my course to stay in school, keep your financial aid, make your parents happy, or some other reason, that is your responsibility and not mine. This is not to say that you cannot get an A in this course, but just showing up to class, doing the homework, and coming to the exams is NOT ENOUGH to qualify you for an A grade. Similarly, if you just show up to class you are not exempt from failing the course. Your grade will be given based upon your performance on course exams, homework, and in class participation. Your grade is determined by my evaluation and not yours. BE CONSIDERATE AND RESPECTFUL TO YOUR CLASSMATES: Please arrive on time for class. Turn off your cell phones… and DO NOT TEXT MESSAGE DURING CLASS. Text messaging during class has become an overwhelming distraction, and if I happen to see you text messaging during class, you will lose points from your class participation grade. Also, NEVER ANSWER YOUR PHONE IN CLASS. This includes running out the door to answer your phone. HOMEWORK AND COLLABORATION: Homework will be assigned and collected through Aplia most weeks. You must make sure that you are aware of all homework deadlines through the Aplia Website. The deadlines to submit homework are fixed and non‐negotiable. Note that you can start an assignment, stop/save your work, and pick up again later where you left off. However, after the deadline for submission has passed, you will be unable to submit any more work, and will only receive a grade on the portion completed with a zero on all remaining questions. Please let me know if you have any questions at andre@aneveu.com. If you have any questions regarding Aplia please contact Aplia customer support. Attendance, promptness, and in‐class participation are required. These factors and others will be considered when calculating your final grades. If you anticipate missing a class where no exam is being held, you can be excused with a valid explanation. Homework can be worked on in groups, but everyone must submit their own. If you do work in a group, please email the names of anyone who was in your group, but DO NOT COPY EACH OTHERS ANSWERS OR THE BOOK. An important thing to remember is that there is no group work on exams. It will be difficult to pass the course if you do not hand in homework or contribute during your group meetings. For answers to homework and exams, shorter answers are almost always better. Finally, Do NOT email your homework answers to me. Again, turn off your cell phones during class. EXPECTED COURSE OUTCOMES: At the conclusion of the course, students will: 1. Be able to analyze and price different bonds. 2. Understand the nature of money and differing monetary regimes and standards. 3. Understand how commercial banks operate. 4. Understand how noncommercial financial institutions operate. 5. Be able to relate how money and banking interact with prices and economic activity. ADMINISTRATIVE: Grading: Class Participation: 10% Homework: 25% Midterm: 25% Final: 40% The final is not cumulative per se but the concepts tested on the final exam will include those from early on in the course, and will test all material covered up to the final class. The tests will be multiple choice and some short answer questions. If you have written permission from the school for extra examination time or other arrangements for exams, please notify me WELL AHEAD OF TIME!!! Also, only 5‐function calculators will be allowed in the exams. No Palm Pilots, No Phone calculators, No TI series graphing calculators. This syllabus will be updated periodically throughout the semester based on exactly what material has been covered. The best preparation for all the exams will be to do the reading, do the homework, and come to class. Websites: Course Website: Access all course materials and links through my website. You will also need to access Aplia through the link below. http://www.aneveu.com http://econ.aplia.com Book Website: You can access the book’s website and MyEconLab resources below http://www.aw‐bc.com/mishkin/ CLASS TOPICS AND SCHEDULE: 1-Sep
5-Sep
8-Sep
12-Sep
15-Sep
19-Sep
22-Sep
26-Sep
29-Sep
3-Oct
6-Oct
10-Oct
13-Oct
17-Oct
20-Oct
24-Oct
27-Oct
31-Oct
3-Nov
7-Nov
10-Nov
14-Nov
17-Nov
21-Nov
22-Nov
24-Nov
28-Nov
2-Dec
5-Dec
9-Dec
12-Dec
15-Dec
Introduction, Cover syllabus, Discuss Aplia and textbook options. Discuss administrative
material. Discuss Chapter 1: Homework 1 Due 9/4 (All other homework due dates listed in
Aplia)
Read and discuss Chapter 1: Why Study Money, Banking, and Financial Markets? and Chapter
2: An Overview of the Financial System
Read and discuss Chapter 3: What Is Money?
Read and discuss Chapter 3: What Is Money? and Chapter 4: Understanding Interest Rates
Read and discuss Chapter 4: Understanding Interest Rates
Read and discuss Chapter 4: Understanding Interest Rates and Chapter 5: The Behavior of
Interest Rates
No classes scheduled
Read and discuss Chapter 5: The Behavior of Interest Rates
Read and discuss Chapter 6: The Risk and Term Structure of Interest Rates
Monday schedule, no class
Read and discuss Chapter 8: An Economic Analysis of Financial Structure
Read and discuss Chapter 9: Banking and the Management of Banking Institutions
Read and discuss Chapter 10: Banking Industry: Structure and Competition
Review for Midterm
Midterm: Covering material through 10/17
Review Midterm
Read and discuss Chapter 11: Economic Analysis of Banking Regulation
Read and discuss Chapter 11: Economic Analysis of Banking Regulation and Chapter 12:
Structure of Central Banks and the Federal Reserve System
Read and discuss Chapter 12: Structure of Central Banks and the Federal Reserve System and
Chapter 15: Tools of Monetary Policy
Read and discuss Chapter 15: Tools of Monetary Policy and Chapter 16: What Should Central
Banks Do? Monetary Policy Goals, Strategy and Tactics
Read and discuss Chapter 15: Tools of Monetary Policy and Chapter 16: What Should Central
Banks Do? Monetary Policy Goals, Strategy and Tactics
Read and discuss Chapter 17: The Foreign Exchange Market
Read and discuss Chapter 17: The Foreign Exchange Market and Chapter 18: The International
Financial System
Read and discuss Chapter 17: The Foreign Exchange Market and Chapter 18: The International
Financial System
Friday schedule, WE HAVE CLASS ON NON-REGULAR DAY! Read and discuss Chapter
19: The Demand for Money
No classes scheduled
Read and discuss Chapter 19: The Demand for Money
Read and discuss Chapter 20: The ISLM Model
Read and discuss Chapter 20: The ISLM Model
Read and discuss Chapter 21: Monetary and Fiscal Policy in the ISLM Model
Read and discuss Chapter 22: Aggregate Demand and Supply Analysis
The Final Exam is scheduled for Friday December 15th between 8:00 am and 10:00 am in
our regular classroom.
Student Registration Instructions Money and Banking (Mishkin) Professor Andre Neveu Your course key is: 88JK‐H9V9‐5D4L Course Fee: $28.00 USD How to Use Aplia Step 1: Register for Your Aplia Course First Time Aplia Users: 1.
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Connect to http://econ.aplia.com On the Sign In page, click the Go button next to ʺTest Your System Configurationʺ; this takes just a few seconds and provides detailed information on how to update your system if necessary Head back to the Sign In page and click the ʺRegister Hereʺ link Fill out the form and click Continue Enter Your Course Key (above) Returning Aplia Users: 1.
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Connect to http://econ.aplia.com and sign in using your usual e‐mail and password Enter your course key (above) Problems with registration or sign in? You can always e‐mail Aplia by clicking on the ʺHelpʺ link in the upper‐right corner of any page or by e‐mailing support@aplia.com. Step 2: Pay for Your Aplia Course (You have until 09.22.06 to pay) • Instructions on the Aplia website walk you through the payment process. •
You can pay online with credit, debit, or electronic check. Aplia also accepts money orders mailed to: Aplia, Inc., 959 Skyway Rd, Suite 325, San Carlos, CA 94070. Grace period for payment: You may register and use the website until 09.22.06 without paying the fee. If you are considering dropping this course during the drop/add period, do not make a payment until you decide to stay in the course. You need to pay the full amount before the end of the grace period to continue using the site. Aplia assignments: Most assignments come in pairs of practice problem sets and graded problem sets. Practice problem sets give you immediate feedback and an explanation of the correct answer. They do not count toward your homework grade. Use them to check your understanding of the material. If you feel confident about the material, you can go directly to the graded set and refer to the practice set only if you want some help. The graded problem sets have a firm due date. You can change your answers as many times as you like before the due date passes. Once the due date passes, Aplia records your grade and you can no longer change your answers or complete the assignment. In other words, Aplia assignments must be done by the due date. The software does not understand excuses. Do your assignments early to keep last minute emergencies from getting in your way. After the due date, Aplia displays the correct answers and explanations for graded problems. Student benefits of Aplia: Cramming is an ineffective learning method. Aplia lets you learn by doing ‐‐ you can apply what you hear and see in the classroom and what you read in the text. Think of the regular assignments on Aplia as a weekly economics workout. Regular work in Aplia will better prepare you for lectures and exams. Refund Policy: You are entitled to a refund if you submit a refund request to Aplia during the original grace period for payment. The grace period for your course expires on 09.22.06. No refunds will be granted after this date. Requests for refunds must be submitted by email or letter and received by Aplia within the stipulated time period. Contact support@aplia.com or write to Aplia, Inc., 959 Skyway Rd, Suite 325, San Carlos, CA 94070 USA, to request a refund. Disclaimer: I receive no monetary benefit from requiring Aplia assignments.