(*)Learning Outcomes
Students will be able to:
- Analyze financial market dynamics under certainty and uncertainty.
- Apply the expected utility concept to individual decision-making processes.
- Construct optimal portfolios based on risk preferences and financial goals.
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(*)Course Content:
- Introduction: History of Financial Markets
- Complete Financial Markets Under Certainty
- Consumption and Saving
- Equilibrium Real Interest Rate
- Present Value Asset Pricing
- Uncertainty and Risk in Financial Markets
- Individual Decisions Under Risk and the Expected Utility Concept
- Optimal Portfolios Under Risk
- Consumption-Based Asset Pricing and the Capital Asset Pricing Model
- Financial Crisis and Investor Behavior
Learning Outcomes
Students will grasp the basic terms and theories related to financial markets, including the history of financial markets, real interest rates, and asset pricing models.
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