elective course-1:International Financial relations

- Foundations of international finance - 3 h.

1. Basic categories of international finance. International Liquidity

2. Assessing financial credibility - rating agencies M *, S * and F *

3. The functioning and linkages of international financial markets - currency, money, capital and derivatives ones

4. From gold standard to the Bretton Woods to fiat money in the global scale

- Institutional aspects of international finance - 6 h.

1. The main actors of the international finance: states and their organizations, non-financial transnational corporations, investment, hedge and trust funds, banks, insurance companies and other intermediaries

2. The importance of the leading countries and groups (G2, G3, G5, G7, G8, G10 and G20)

3. The main financial centers of the world and their evolution

4. International Monetary Fund (IMF) as the central bank of the world. IMF stabilization programs and their effectiveness

5. The Bank for International Settlements (BIS) - a forum for cooperation of the central banks

6. The role of the World Bank Group (IBRD) and the regional development banks

7. Financial institutions of the European Union

- International currency market - 3 h.

1. Foreign currency as a commodity. Functions of the main currencies (reserve,

intervention, investment, transactional and a store of value)

2. The concept and the functioning of currency markets

3. The spot, the forwards, and the futures markets

4. The role of currency speculation

5. The concept of the forex arbitrage

- Exchange rates and convertibility of currencies - 5 h.

1. The exchange rate as the price of foreign currency. Types of foreign exchange quotations

2. Systems of exchange rates (from fixed to floating)

3. The concept of currency convertibility

4. The typology of currency convertibility

5. Exchange rate stabilization policy

- Foreign exchange policy in the process of political transformation - 3 h.

1. The introduction of the convertibility of the national currency

2. The sequence of the liberalization of the exchange controls and of the internal forex market

3. The problem of maintaining the external equilibrium

4. The evolution of the exchange rate systems in the countries of Central and Eastern Europe

5. The Polish forex system after 1989

- Monetary integration at the supranational level - 3 h.

1. Monetary integration as an element of economic integration

2. The concept of an optimal currency area

3. Achievements and prospects of monetary union of the European Union countries

4. Euro as the common currency of the united Europe

- Financial innovations and challenges of last quarter century – 5 hours

- Problem of external indebtedness - 2 h.

A. Buckley „International finance. A practical perspective”, Pearson Education Limited 2012

J. de Haan, S. Oosterloo, D. Schoenmaker „Financial Markets and Institutions. A European Perspective”, Second Edition, Cambridge University Press 2012

R. E. Caves, J. A. Frankel, R. W. Jones „World Trade and Payments: An Introduction” (10th edition), Addison-Wesley 2007

„The Economist”, „Financial Times”

KNOWLEDGE

W1 Has good understanding about the international financial relations, functioning of financial markets, their various segments, about risks related to various financial instruments, methods to limit these risks; understands world’s financial architecture and economic integration. Class presentations K_W04

SKILLS

U1 Understands the importance of financial markets, has the ability to analyze various events taking place there, can determine risks related to various financial instruments. Analysis of specific

problems, events or

data during the class K_U04

SOCIAL COMPETENCES

K1 Can work in a team, both as a member and as a leader. Participation in a team project and presentation K_K02

K2 Understands the need to communicate in a professional community and a team. Effectively uses team communication tools to complete assigned projects (Google docs, Dropbox, Skype, other) - assessment based on observed student activity. K_K10

Team presentation – qualitative criterion

Test of 20 multichoice questions – quantitative criterion