Item

Title

Due Date

Value

1

Questions in class

Randomly selected weeks

10%

2

Test in class

Week 10

10%

3

Final exam

Exam period

80%

Week

Lecture Content

Homework

1-6

Lecture 1 Basic components of International   Finance

1.1 Foreign exchange and exchange rate

1.1.1   Foreign exchange

1.1.2   Exchange rate

1.1.3   Economic analysis of exchange rate

1.2 Theories of exchange rate   determination

1.2.1    Purchasing power parity theory

1.2.2   The interest rate parity theory

1.2.3 The   balance of payments theory

1.2.4 The capital market theory

1.3 International payments and the balance   of international payments

1.3.1   The national income account under open economy

1.3.2   International payments and the international payments account

1.3.3   The analysis of the balance of international payments

1.3.4 The adjustment of the international   payments

1.3.5 The international payments of China

1.4 Theories of international balance of payments adjustment

1.4.1   The elasticity approach

1.4.2   The absorption approach

1.4.3   The monetary approach

Theories of

exchange rate

determination

7-14

Lecture 2 Management of International Finance

2.1 The macroeconomic regulation under   open economy

2.1.1   The policy objectives under open economy

2.1.2   The policy mix under open economy

2.1.3 the effects of fiscal policy and monetary   policy under open economy

2.2 Exchange rate system and foreign   exchange control 

2.2.1 Exchange rate system

2.2.2   Foreign exchange control

2.2.3   Currency convertibility

2.2.4China’s foreign exchange   management

2.3 International reserves

2.3.1 Concept, composition and functions of international   reserves

2.3.2 Management of international reserves

2.3.3China’s international reserves

2.4 International monetary system

2.4.1 An overview of international monetary   system

2.4.2 International gold standard system

2.4.3 The Bretton Woods system

2.4.4 The Jamaica system

2.4.5 The regional practice of international   coordination: European monetary integration

2.5 International capital flow and   financial crisis

2.5.1 Introduction

2.5.2 International capital flow and financial   crisis

2.5.3 The economic effects of middle & long   term international capital flow and debt crisis

2.5.4 International short term capital flow and   currency crisis

Test in class

15-18

Lecture 3 International Finance Practice

3.1 Foreign exchange market and foreign   exchange business

3.1.1 Foreign exchange market

3.1.2 Spot foreign exchange

3.1.3 Forward foreign exchange

3.1.4 Swaps

3.1.5 Foreign exchange futures

3.1.6 Foreign exchange option

3.2 Preventions of foreign exchange risk

3.2.1 An overview of foreign exchange risk

3.2.2 The types of foreign exchange risk

3.2.3 Preventions of foreign exchange risk

3.2.4 Foreign exchange risk preventions in China

3.3 International financial market

3.3.1   Introduction

3.3.2   International money market

3.3.3   Eurocurrency market

3.3.4 Asian currency market

3.3.5 Innovations of international financial   market

Final exam

preparation