IER 301 – Advanced Economics

IER 301 – Advanced Economics; Weekly hours: 2+1, ECTS: 5
The main objective of this subject is to introduce the basics of monetary policy. We study issues related to the proper definition of money, their supply and demand. Also the subject contains lectures related to formulation of monetary policy, the impact of monetary policy on the economy, as well as practical application of models of monetary policy. The course gives a further knowledge at: What is money? The money supply process, Tools of monetary policy, The conduct of monetary policy (Strategy and targets), The IS LM Model, Monetary and fiscal policy in the ISLM model, Aggregate demand and supply analysis, Transmission Mechanisms Of Monetary Policy: The Evidence, Credit Expansion, Money and Inflation, Rational Expectations: Implications for Policy