Faculty of Business and Economics

Undergraduate - Unit

This unit entry is for students who completed this unit in 2014 only. For students planning to study the unit, please refer to the unit indexes in the the current edition of the Handbook. If you have any queries contact the managing faculty for your course or area of study.

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6 points, SCA Band 3, 0.125 EFTSL

Refer to the specific census and withdrawal dates for the semester(s) in which this unit is offered, or view unit timetables.

FacultyFaculty of Business and Economics
Organisational UnitDepartment of Economics
OfferedBerwick Second semester 2014 (Day)
Coordinator(s)Dr Ratbek Dzhumashev


This unit is designed to analyse the effect of money on key economic variables such as interest rates, inflation, output, and on the workings of the banking sector. In addition, the unit examines the roles played by the financial system, financial institutions, and central banks, in the process of money creation and the implementation of monetary policy. The unit provides a more detailed discussion of the key issues in the theory and practice of banking and monetary policy.


The learning goals associated with this unit are to:

  1. develop a knowledge of the theoretical structure of an open economy with particular emphasis on monetary policy formulation and implementation
  2. develop skills in analysis and prediction for the key economic variables when the economy is faced with internal and external market shocks
  3. be able to use an economic model that allows for competitive international capital markets and floating exchange rates to analyse policy measures.


Within semester assessment: 40%
Examination: 60%

Chief examiner(s)

Workload requirements

3 hours per week


Students must have passed one of the following: ECB1101, ECG1101, ECS1101, ECW1101 or ECP1100, AND one of the following: ECB2730, ECG2730, ECS2730, ECW2730, ECB2331 or ECF2331 before undertaking this unit.