Description

The 4th edition of The Economics of Money, Banking and Finance is written to meet the needs of students requiring a rigorous grounding in financial economics theory, combined with institutional and policy discussion relevant to the ‘real world’ of contemporary Europe.

Features

• Separate chapters deal with the financial systems in the UK, the USA, Germany, France, Italy and the Nordic countries.
• Includes extensive use of up-to-date examples, explains how to use relevant tables from the Financial Times and indicates many sources of information on the Internet
• Coverage of current issues such as the transparency of monetary policy and the psychological analysis of behaviour in financial markets.
• Increased emphasis on the integration of international financial markets, especially within Europe

Table of Contents

Preface
Acknowledgements
Symbols, Abbreviations and Other Conventions

PART ONE: INTRODUCTION
1. The role of a financial system

PART TWO: FINANCIAL INSTITUTIONS AND SYSTEMS
2. An introduction to financial systems
3. The UK financial system
4. The US financial system
5. The German financial system
6. The French and Italian financial systems
7. Financial systems in Northern Europe- Hans-Michael Trautwein

PART THREE: THEORY
8. Portfolio theory
9. The determination of short-term interest rates
10. The structure of interest rates
11. The valuation of assets

PART FOUR: MONEY AND BANKING
12. Banks and the supply of money
13. The demand for money
14. Monetary policy

PART FIVE: MARKETS
15. Money markets
16. Bond markets
17. Equity markets
18. Foreign exchange markets
19. Derivatives - the financial futures markets
20. Options, swaps and other derivatives

PART SIX: CURRENT ISSUES
21. The single European market
22. The European Monetary System and monetary union
23. The European Central Bank and euro area monetary policy
24. Financial innovation
25. The regulation of financial markets
26. Financial market efficiency
Case Studies 1-8

Glossary of Terms
Answers to Questions
Index

Back Cover

‘Essential reading for anyone wanting in-depth knowledge of the way financial systems operate around the world, particularly in Europe.’

Dr Sugata Ghosh, BrunelUniversity

;The written style of the textbook is very good and student-friendly.  One of the key strengths of this

textbook is its very large coverage of topics. It is a very good handbook for a first contact with the different topics for undergraduate students.  Another strength of the book is its European focus.’ 

Gert Peersman, Ghent

In a time of such great movement and instability in money markets across the globe, there is no time more apt for publication of a fourth edition of The Economics of Money, Banking and Finance. From the boom in subprime mortgage lending to the subsequent credit crunch and bank reforms across Europe, this fourth edition clearly explains the financial economic theory behind recent events and closely examines institutional and policy discussions relevant to the ‘ real world’ of contemporary Europe.

What’s New:

·          Chapter 15,Money markets deals with recent changes in Bank of England money market operations

·          Chapter 13, The demand for moneynow reflects widely-recognised research that monetary policy impulses flow directly from the policy rate set by the central bank, rather than by any evolution in the quantity of money itself

·          Chapter 26, Financial market efficiencyincludes increased coverage of behavioural finance

·          Recognising the explosion of relevant material available on the Internet, More From The Web boxes suggest the best sites to access for different topics

·          New FT articlesin every chapter

·          New case studies such as the Northern Rock affair and Judging the regulator – the FSA, praise and blame

Assuming a basic grounding in economic principles, The Economics of Money, Banking and Finance is suitable for a range of one and two semester courses at undergraduate level and appeals to financial services students as well as students of economics.

About the authors

Peter Howells is Professor of monetary economics at BristolBusinessSchool, University of the West of England, specialising in monetary and financial economics.

Keith Bainis formerly of the Universityof East Londonwhere he specialised in monetary economics and macroeconomic policy.

Also Available:

Financial Markets and Institutionspublished in a new fifth edition by Peter Howells and Keith Bain (ISBN 978-0-273-70919-0)

Financial Markets and Institutionsfocuses less on the theory and workings of financial systems of countries in Europeand more, as the title suggests, on market activity.  

Visit www.pearsoned.co.uk/howells to access the Companion Website for this text including:

·          Additional multiple choice questions to self check your learning and receive automatic feedback 

·          Written answer questions with hints to help you get to the key points 

·          Annotated hotlinks to useful websit