International Monetary Policy

obowiązkowe

The course objective is to present a comprehensive treatment of international dimensions of monetary policy. Part one reviews major issues of monetary policy in an open economy from a single-country perspective. Part two covers basic models in international monetary economics (from Mundell-Fleming tradition to the New Open Economy Macroeconomics). Part three is devoted to international monetary policy cooperation and coordination, presented both within macroeconomic and institutional framework.

.1. Money and monetary policy in an open economy. Monetary policy and exchange rate regime choice. Policy rules for open economy

2. Mundell-Fleming model and its extensions - domestic monetary policy spillover effects

3. NOEM models - domestic monetary policy spilover effects. Optimal monetary policy rules

4. Monetary policy - international coordination and cooperation (game-theoretic approach).

5. Monetary policy coordination - institutional framework

6. Incomplete and complete monetary union as a form of monetary policy coordination

6. Case study: EMS.

Szacunkowy nakład pracy studenta:

Typ aktywności K (kontaktowe) S (samodzielne)

wykład (zajęcia) 30 0

konsultacje 15 0

egzamin 3 0

przygotowanie do zajęć 0 11

przygotowanie do egzaminu 0 16

… 0 0

Razem 48 27 = 75

Required:

Hamada, 1976, Strategic Analysis of Monetary Interdependence, Journal of Political Economy, 84, 677-700.

Lane, 2001, The New Open Economy Macroeconomics: A Survey, Journal of International Economics, 54, 235-266

Mark, 2001, International Macroeconomics and Finance: Theory and Empirical Methods, Blackwell

Obstfeld, Rogoff, 1995, Exchange Rate Dynamics Redux, Journal of Political Economy, 103,3,624-660

Turnovsky, Basar, d'Orey, 1988, Dynamic Strategic Monetary Policies and Coordination in Interdependent Economies, American Economic Review, 78, 341-361

Knowledge of major analytical tools for discussing pros and cons of monetary policy coordination and cooperation (incl. monetary union); optimal monetary policy rules for an open economy.

KW01, KW02, KW03, KW04, KW05, KU01, KU02, KU03, KU04, KU05, KU06, KU07, KK01, KK02, KK03

evaluation methods( 4000 characters max)

Activity in the class, Written exam (open questions)