International Finance - Macroeconomics

This course provides a comprehensive analysis of the challenges faced by policymakers in dealing with international financial shocks, and the evidence on the dilemma vs. trilemma debate. It covers a range of topics including a model for international financial shock transmission, the Euro Area's current account imbalances and debt crisis, and the impact of capital flows on inequality.


  • Evidence on the Dilemma vs. Trilemma debate

  • A model for the international transmission of financial shocks

  • How should policy deal with international financial shocks?

  • Business cycles in advanced and emerging market economies

  • Models of sovereign default (including coding a quantitative model)

  • Heterogeneous households, sudden stops in capital flows and exchange rates (including solving a model with heterogeneous agents)

  • Capital flows and income inequality


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Who is the Course for? 

The target audience for this course is Graduate Students completing a PhD or MPhil in Economics, and professionals working in central banks and international institutions in research. For a definitive ranking of the mathematical and theoretical skills needed for this course, please view the brochure. 


Choose to follow the Macroeconomics Pathway to deepen your knowledge of Macroeconomics with courses in Monetary Economics (morning session) and International Finance (afternoon session). Or mix and match, choosing different morning or afternoon sessions from our other pathways: Applied or Econometrics.