COURSE SYLLABUS
Course Title
Coordinator
Course Code
Credit
Semester
Prerequisite Course
Description
Learning Outcome
Session
1
2
3
: Monetary Economics
: Dr. Iman Sugema
: EKO 324
: 3 (3-0)
: Even/6
: Macroeconomics 1 (EKO 100) and Macroeconomics 2 (EKO203)
: This course is designed to provide knowledge for the students on the importance of monetary economics; the role of
money; monetary authority; and instrument and impacts of monetary policy.
: After completing this course, students are expected to be able to explain the importance of and role of money; monetary
authority; and instrument and impacts of monetary policy.
Expected Learning Teaching Material
Outcome (Basic
Competency)
Students
Course Contract
understand
Course Contract,
Introduction
and the role of
central bank
Students can
explain multiple
deposit creation
Students can
Multiple Deposit
Creation
Money supply
Item
- Explanation on
Course Contract
- Central bank system
- Formal and informal
structure of central
bank
- Central bank
independency
- Money supply
process
- Balance sheet and
basis monetary
- Multiple Deposit
Creation
- Money supply
Objective
Time
Allocation
Lecturer
Reference
Lecture:
3 x 50 minutes
Monetary
Economics Lecturer
Team
Structure of
Central Banks and
the Federal
Reserve System:
M-Chapter 12,
Mishkin (2007)
Lecture:
3 x 50 minutes
Monetary
Economics Lecturer
Team
Multiple Deposit
Creation: MChapter 13,
Mishkin (2007)
Lecture:
Monetary
Money Supply: M-
Session
4
Expected Learning
Outcome (Basic
Competency)
understand
factors that
influence money
supply
Teaching Material
Students can
explain monetary
policy instrument
in Indonesia
Monetary policy
instrument
Item
-
-
5
6
7
Students
understand the
target and
objectives of
monetary policy
The target and
objectives of
monetary policy
Students
understand
international
financial system
International
financial system
Students
understand the
strategy of
monetary policy
Monetary policy
strategy
Students
understand
Money demand
-
Objective
model and money
multiplier
Factors that
influence money
supply
Reserves market
and SBI
Open market
operation
Discount window
policy
The objectives of
monetary policy
The strategy of
central bank
The target selection
The procedure of
central bank policy
Exchange rate
market intervention
Balance of Payment
Financial system
evolution
The target of
exchange rate
The target of
monetary
Time
Allocation
Lecturer
3 x 50 minutes
Economics Lecturer
Team
Chapter 14,
Monetary
Economics Lecturer
Team
The Instrument of
Monetary Policy:
M-Chapter 15,
Lecture:
3 x 50 minutes
Reference
Mishkin (2007)
Mishkin (2007)
Lecture:
3 x 50 minutes
Monetary
Economics Lecturer
Team
M-Chapter 16,
Lecture:
3 x 50 minutes
Monetary
Economics Lecturer
Team
M-Chapter 18,
Lecture:
3 x 50 minutes
Monetary
Economics Lecturer
Team
M-Chapter 20,
Lecture:
3 x 50 minutes
Monetary
Economics Lecturer
M-Chapter 19,
Mishkin (2007)
Mishkin (2007)
Mishkin (2001)
MID-TEST/UTS
8
- Money quantity
theory
Mishkin (2007)
Session
9
10
11
12
Expected Learning
Outcome (Basic
Competency)
factors that
influence money
demand
Teaching Material
Students can
explain IS-LM
model
IS-LM model
Students
understand
money market
and goods market
Students
understand the
impacts of fiscal
and monetary
policies by using
IS-LM
Aggregate
demand
Students
understand the
mechanism and
transmission of
monetary policy
Transmission
mechanism of
monetary policy
Fiscal and
monetary policies
policy: IS-LM
model
Item
- Cambridge
approach
- Money circulation
- Keynes liquidity
preference theory
- Keynes approach
evolution
- Friedman money
quantity theory
- Factors that
influence aggregate
expenditure
- IS-LM model
- Goods market and
IS curve
- Money market and
LM curve
- IS curve shifting
- LM curve shifting
- Monetary policy vs.
fiscal policy
- Empirical evidence
- The importance of
money ( Keynes
approach and
Monetary)
- Transmission
Objective
Time
Allocation
Lecturer
Reference
Team
Lecture:
3 x 50 minutes
Monetary
Economics Lecturer
Team
M-Chapter 20,
Lecture:
3 x 50 minutes
Monetary
Economics Lecturer
Team
M-Chapter 25,
Lecture:
3 x 50 minutes
Monetary
Economics Lecturer
Team
M-Chapter 21,
Lecture:
3 x 50 minutes
Monetary
Economics Lecturer
Team
M-Chapter 26,
Mishkin (2007)
Mishkin (2005)
Mishkin (2007)
Mishkin (2005)
Session
13
14
Expected Learning
Outcome (Basic
Competency)
Students can
explain the
relationship
between money
and inflation
Students
understand
rational
expectations
theory and capital
market
Teaching Material
Money and
Inflation
Item
-
Rational
Expectations
Theory and
Capital Market
-
-
mechanism
Money and inflation
The definition of
inflation
The point of view of
inflation
Rational
expectations theory
Rational
expectations theory
in money market
Market efficiency
evidence
Lucas’s critics
Macroeconomic
new model
Objective
Time
Allocation
Lecturer
Reference
Lecture:
3 x 50 minutes
Monetary
Economics Lecturer
Team
M-Chapter 27,
Lecture:
3 x 50 minutes
Monetary
Economics Lecturer
Team
M-Chapter 7,
Mishkin (2005)
Mishkin (2007)
Reference
Mishkin, Frederic S. 2001. The Economics of Money, Banking, and Financial Markets, edition 8. Addison-Wesley. World Student Series. New
York. (M)