International University of Grand-Bassam
School of Business, International Relations, and Economic Policy
International Finance
ECON 4810
Instructor: Dr. Ndeye Salimata Fall
Office: Room 212
Phone: +225 47 54 02 55
Email: fall.s@iugb.org/ nsfall@gmail.com
Office Hours: Mondays 2:30 to 3:30 PM and Tuesdays 10:00 to 11:30 AM
Class meets WF: 10:00 to 11:30 AM
Prerequisite: Econ 2105
Course Description:
A study of the foreign exchange market, the balance of payments, exchange rate systems with
particular emphasis on the current international monetary system, the international
macroeconomic model, and policies for internal and external balance.
This course is intended to provide a familiarization with international financial markets and the
basic forces that affect financial decision making in the multinational firm. The course provides a
background for performing in jobs created by international investment, banking, and
multinational business activity. Understanding the implications of international financial news as
reported, for instance, in The Wall Street Journal will be emphasized. We will study
international financial problems in a global environment.
Intended Learning Outcomes
By the end of the course students should be able to:
1.
2.
3.
4.
5.
6.
Understand the key facts about international finance.
Understand the basic market forces of foreign exchange markets.
Define balance of payments and identify elements.
Describe forwards, futures and options.
Understand how to evaluate and measure risk.
Be able to apply international finance theories to evaluate current events.
Text/other Material:
International Money and Finance by Michael Melvin, 7th edition, Addison Wesley.
International University of Grand-Bassam
School of Business, International Relations, and Economic Policy
EXAMS AND GRADING POLICY
Grade Distribution
Midterm
Quizzes
Group Paper
Homework
Attendance
Final Exam
25%
15%
15%
10%
5%
30%
Grade Scale
Letter Grade
A+
A
AB+
B
BC+
C
CD
F
Numeric Grade
96 – 100
93 – 95
90 – 92
87 – 89
83 – 86
80 – 82
77 – 79
73 – 76
70 – 72
60 – 69
<60
GPA Quality Points
4.3
4.0
3.7
3.3
3.0
2.7
2.3
2.0
1.7
1.0
0.0
Exams
There will be two exams – a midterm exam and a final exam. The exams are cumulative.
No make-up exams are provided except for documented health or business reasons arranged with
the instructor in advance if at all possible. No extra-credit projects are available under any
circumstances.
Quizzes
Quizzes are tentatively scheduled in the course outline. If the schedule is changed, it will be
announced at least one class prior to the quiz date. The format of quizzes will vary depending on
the subject matter to be tested and will test chapter material covered following the previous quiz.
There are no make ups for quizzes (you will receive 0) for any reason. However, out of the four
quizzes the grade for the worst quiz will be dropped (your course grade will be calculated using the
three best ones).
Homework
There will be various assignments aiming at testing your understanding of the concepts covered in
class.
International University of Grand-Bassam
School of Business, International Relations, and Economic Policy
Group Term Paper
A group project is due in the 13th week of the course. Each group will be composed of 4
students. Each group should choose one specific issue to research and write about. The paper
should be approximately 10 pages in length and should include a well written introduction,
provide a literature review and expert assessment of the issue and provide a conclusion related to
the issue chosen. This paper is worth 15 percent of your total grade.
A topic and broad outline are due in the 4th week of class. You will receive approval for your
topic or be requested to change topic or focus by Week 5.
In week 14, each group will make a 30 minute presentation.
Attendance Policy and Participation
In-class participation is highly appreciated. Good participation means regular attendance, frequent
involvement and positive contributions in class discussions. Each student’s classroom participation
will be assessed based on:
The student is to be ready for each class by performing all assigned readings. Not performing the
assigned readings will negatively affect your in-class participation grade.
Students are required to attend each and every class session on a timely basis. Missing a class will
negatively affect your in-class participation grade. If you are more than 15 minutes late or leave
class for more than 5 minutes, you will be marked absent.
Policy on Academic Honesty
All students are responsible for knowing and adhering to academic honesty. Any incidents of
academic dishonesty (i.e. cheating on a test, plagiarizing, etc.) will result in an automatic “F” for
the course.
Disruptive Student Conduct in the Classroom or Other learning Environment
All forms of disruptive behavior should be avoided. Disruptive student behavior includes, but is
not limited to, verbal or physical threats, repeated obscenities, unreasonable interference with
class discussion, making/receiving personal phone calls or pagers during class, leaving and
entering class frequently in the absence of notice to instructor of illness or other extenuating
circumstances, and persisting in disruptive personal conversation with other class members.
Please ensure that all potentially noise-making equipment (cellular phones, pagers, laptop
computers, etc) are turned off during lectures. Furthermore, be sure to get to class on time.
Entering class during the lecture is disruptive to the instructor as well as to the students.
International University of Grand-Bassam
School of Business, International Relations, and Economic Policy
Tentative Course Schedule/Outline
Date
Textbook Reading
Topic
Week 1
Chapter 1
Foreign Exchange Market
Week 2
Chapter 2
Balance of Payments
Week 3
Chapter 3
International Monetary Arrangements
Week 4
Forwards, Futures, Options
Week 5
Chapter 4
TOPIC AND OUTLINE
OF PAPER DUE
Chapters 4 and 5
Week 6
Chapter 6
Forwards, Futures, Options
Exchange Rates and Interest Rates
Foreign Exchange Risk
Week 7
Week 10
MIDTERM
ASSESSMENT
Chapter 7
Chapter 7 (cont.)
Chapter 8
Chapter 8 (cont)
Chapter 9
Chapter 9
International Investment
International Investment
Prices and Exchange Rates
Prices and Exchange Rates
Balance of Trade Determinants
Balance of Trade Determinants
Week 11
Chapter 10
Exchange Rate Determinants
Week 12
Chapter 11
Import-Export Finance
Week 13
Chapter 13
International Money Market
Week 14
Chapter 12 Catch up
PRESENTATION OF
GROUP PAPERS
FINAL EXAM
Open Economy Macroeconomics
Week 8
Week 9
Week 15
Notes
1. If you require special accommodations for exams (e.g., "time and a half"), you must provide
documentation and make arrangements with me PRIOR to the exam dates.
2. Incompletes will only be given to students who are passing the course, and even then, only in
very special circumstances. In the case where an incomplete is awarded, it must be removed
by the end of the next term that the student is enrolled (and within two terms regardless of
whether or not the student is enrolled) or it will automatically turn into an F.
3. Students who withdraw after the midpoint of each term will not be eligible for a "W" except
in cases of hardship.
4. All instructors must, on a date after the mid-point of the course (to be set by the Provost) give
a WF to all those students who are on their rolls, but no longer taking the class and report the
last day the student attended or turned in an assignment. If you plan to drop the class, do let
me know.
5. This course syllabus provides a general plan for the course; deviations may be necessary.