This course develops the principles of international finance to gain an understanding of exchange rate dynamics and recent events in both developed and emerging economies. But, the dynamics of foreign exchange markets are not the only distinguishing feature of international financial markets. Institutions differ, and opportunities for portfolio and risk diversification are greater. Topics treated include: foreign exchange microstructure; the determination of nominal exchange rates; pricing of and trading in the spot and the forward foreign exchange; foreign-exchange options and currency swaps; theory and practice of the Euromarket funding and lending; sovereign debt crises; speculative attacks and liquidity crises; globalization.

This course, offered jointly with the Faculty of Law, will explore the regulatory framework governing international trading relations. The following topics will be examined: international economic institutions, the Bretton Woods System, the GATT, international regulation of tariffs, national tariff administration, the principles of nondiscrimination (most-favoured nation and national treatment) with a special focus on the case for bilateral Canada-U.S. free trade, antidumping regulation, subsidies and countervailing duties, safeguards, voluntary export restraints, and adjustment assistance. The course will strongly emphasize the institutions and political economy of international trading relations and how economic and political forces have shaped current regulatory policies and may shape future policies.

This course covers the development and application of statistical techniques for estimating economic relationships and in testing economic theory. It focuses on parameter estimation and hypothesis testing within the framework of the classical linear regression model, and on the analysis of the problems which arise when the basic assumptions are violated. Considerable attention is devoted to applications of the techniques.

This course is directed at master's students interested in the applied micro fields, especially (but not exclusively) labour, development, and public economics. While it has a labour course number, this is not purely a labour economics course: it is a course in empirical modeling and applied econometrics. The tools covered in the course, however, are central to those used in empirical labour economics, as well as other applied microeconomics fields like development and public economics. The focus will be on the identification of casual relationships using regression-based analysis. Empirical examples will be drawn from recent work in labour, development, and public economics.

This course is designed to introduce students to the fundamentals of financial markets and theories of asset pricing. It begins with an examination of asset pricing under certainty which forms the basis for determining the prices of fixed income securities. It then examines individual decision-making under uncertainty which provides the foundation for modern portfolio theory and determining the prices of risky assets. Alternative asset pricing theories investigated include CAPM, APT, CCAPM, and state preference theory.

This course selects topics in current advanced research in financial economics. Theoretical and empirical models dealing with economic aspects of financial markets, intermediaries, and the financial decisions of firms are examined. Financial systems in developing as well as developed economies are examined.

The course covers cutting-edge research papers in finance with the aim of showing students the neatest, most interesting pieces of empirical work that define our current knowledge of the field. The course has two goals. First, to equip students with the tools required to conduct empirical research in finance. Second, to present the most recent empirical facts in various areas of finance. Accordingly, in each lecture we will study both an empirical method, some examples of how it is applied in one field of finance, and the state of the empirical literature in that field. The methods covered include measures of abnormal performance, instrumental variables, differences-in-differences, regression discontinuity, propensity score estimators, and sample selection models. The topics we will focus on are ownership structure, mergers and acquisitions, capital structure, insider trading, shareholder activism, CEOs effect on the firm, and executive compensation.

This course focuses on the role of risk management in both private and public sectors. It includes a discussion of why firms and government should hedge financial risks, the individual and social gains of financial risk management, the identification and quantification of financial risks (including Value-at-Risk measures) and how derivative securities can be used for financial risk management.

This is course is intended to drill down into details of some important and urgent issues concerning contemporary financial industry. The topics may include: Economic Capital and Stress Testing, Business Performance Measurement, Emerging Capital Markets and Risks, Innovative and Exotic Derivatives in Capital Markets and Risks; Asset Securitization and Risks; Hedge Funds and Risks. Please note the topics chosen for each term are subject to changes. The instructor will use the real world problems for research projects and case studies required by the course. This would encourage the students to take initiatives in researching, formulating and resolving the issues, reasoning through to obtain buy-in from a panel consisting of industrial practitioners. This is a new course and designed to best equip the participants with the most current knowledge and in-depth understanding in the risk management when entering the mainstream financial institutions.

This course is a broad survey of the field of development economics with attention to general theories of development, key sectors such as agriculture and industry, mechanisms such as financial transfer and technological change, and worries such as the environmental costs of development.

Following an introductory analysis of earlier periods, this seminar will focus on 20th century China as case studies in development economics.

The field of industrial organization (IO) is applied microeconomics/price theory concerned with the function of markets and the behaviour of firms in these markets. In this course the focus is on two primary questions: i) how do we explain observed behavior, prices or contractual practices by firms operating in markets that are not perfectly competitive? ii) what is the role of government intervention in affecting market structure, the behaviour of firms, and the efficient operation of markets? Recent developments in IO are both theoretical and empirical. This IO course stresses an understanding of the theory, including extensions and modern developments and applications of the theory.

This course provides an introduction to the economic analysis of legal rules and decision making, in areas such as property, torts, and contract law.

This course provides a general treatment of the economics of energy markets and the use of regulation in addressing environmental and other issues arising in these markets. A central theme is the search for an appropriate balance between market forces and regulatory/government intervention. Topics include oil, natural gas, coal and electricity markets, global warming and other externalities, networks, feed-in-tariffs, carbon taxes, cap-and-trade, and incentive regulation.

The first half of the course reviews material that is useful in doctoral courses. The material covered includes 1) mathematical and statistical background concepts (matrix algebra, probability theory, random variables, and distributions), 2) core elements of statistical inference (estimation and testing), 3) analysis in vector spaces (metric and normed vector spaces with associated linear algebra).

The second half of the course concentrates on optimization theory necessary for microeconomic theory and macroeconomic theory. It starts with static optimization theory, and then focuses on optimal control theory and dynamic programming. The stochastic counterparts of the latter techniques are mentioned only briefly. The three basic references for the course are 1) A.K. Dixit, 1990, "Optimization in Economic Theory," second edition, Oxford University Press (in paperback); 2) N.L. Stokey, R.E. Lucas, Jr., with E.C. Prescott, 1989, "Recursive Methods in Economic Dynamics," Harvard University Press (Chapters 3, 4, 5, 6); and 3) T.J. Sargent, 1987, "Macroeconomic Theory," second edition, Academic Press (Chapters 9 and 11).

This course provides a rigorous introduction to the tools and basic models of dynamic general equilibrium.

This course provides an in-depth presentation of a small number of recent research topics in macro. In recent years, topics have included growth theory, dynamic Ramsay taxation, search and bargaining, efficiency wage models, and empirical research on consumption and asset-pricing.

The objective of this course is to teach computational methods for solving heterogeneous-agent models in macro, labor, IO, trade, and other fields. The methods we will cover in this class will not only allow you to solve the most advanced, state-of-the-art quantitative models used in economics today but also allow you to do so efficiently and accurately. We will learn different methods that differ in their speed and accuracy, as well as their suitability for parallelization. Students will be asked to implement each method learnt on the computer.

This tutorial is designed for direct-entry PhD students and MA students who are enrolled in ECO2100H and ECO2101H.

This tutorial is designed for direct-entry PhD students and MA students who are enrolled in ECO2100H and ECO2101H.

The strategy of the course is to examine simple models to explore the importance of money, banks, and other financial institutions in the way economies work. The topics examined in this framework include: role of money, determination of the medium of exchange, effects of inflation, role of banks, control of the money supply, and effect of the National Debt on saving and investment.

This course will review some recent research works on the macro aspects of growth and development. It will be concerned with the remarkable differences in per capita income across countries today, the existence of miracles and disasters in economic growth, and more generally, the evolution of world income distribution. The following topics maybe covered in the course: development accounting in one and multi-sector models, structural transformation, heterogeneous firms and aggregate TFP, trade and growth, and the evolution of world income in the long-run.

This course provides a comprehensive treatment of theories of consumer behaviour, production, competitive market equilibrium, general equilibrium and welfare.

This course provides a comprehensive treatment of game theory, the economics of information, and the theory of incentives.

This tutorial is designed for direct-entry PhD students and MA students who are enrolled in ECO2200H and ECO2201H.

This tutorial is designed for direct-entry PhD students and MA students who are enrolled in ECO2200H and ECO2201H.

This course offers an introduction to the modeling and empirical analysis of networks in economics, with a focus on topics relevant to the fields of international trade and macroeconomics. Topics covered will include: basics of graph theory; statistical network models; endogenous production network models; networks and aggregate fluctuations; learning and information diffusion in networks.

This course is devoted to a review of introductory mathematical statistics. Parameter estimation and hypothesis testing are discussed from both the Bayesian and classical standpoints. In the second half these techniques are applied to the standard linear regression model. While this course is primarily theoretically oriented, empirical implementation is addressed in computer homework assignments directed toward applied economic problems.

This course develops the conventional econometric tools of the applied economist. Subjects covered include general least squares and its application (e.g., heteroscedasticity, autocorrelation, multivariate regression, mixed estimation), ARCH and GARCH models, asymptotic distribution theory, models where right hand side variables are correlated with residuals (e.g., errors in variables, simultaneity), GMM estimation, simultaneous equation models, basic elements of time series analysis (ARIMA and VAR models, cointegration), duration data and hazard function models and panel data models. Additional topics which may be covered include an introduction to the bootstrap and limited dependent variable models.

This course covers methods and applications in economic theory. The focus is on structural econometric methods that are at the core of Empirical Industrial Organization. It emphasizes the interactions between economic theory and empirical methods rather than focusing just on statistical analysis. The class is divided into two parts. The first part covers estimation of demand functions and static oligopoly models. The second part studies static two-period models using a revealed preference approach, which normally leads to moment inequalities and to partial identification. This class also discusses some of the econometrics problems related to moment inequalities estimators.