Economics

ECO 6001: Econometrics*

This course is designed to introduce students to the basic concepts of econometrics and their application to data. The course reviews and builds on univariate methods developed in the prerequisite Statistics course, and then develop elementary methods in regression analysis, the basic tool of econometrics. The course emphasizes on the understanding the intuition behind various econometric procedures and at the same time applying them to data. The emphasis of the course will be on making the transition from an economic model of asset return behavior to an econometric model using real data. This involves: (1) specification of an economic model; (2) estimation of an econometric model; (3) testing of the assumptions of the econometric model; (4) testing the implications of the economic model; (5) forecasting from the econometric model. The modeling process requires the use of economic theory, probability models, optimization techniques and statistical analysis.

ECO 6002: Global Economic Environment*

This course deals with the process of market-led globalization and its impact upon national economies. The course will cover the mechanisms of global economic integration and the challenges they pose for national economies and civil societies. It also examines the changing role of the state and international organizations in dealing with globalization, and the global economy. It is necessary to understand the impact of global events. The goal of this course is to familiarize students with the knowledge of current issues and to acquire the skills necessary to make these connections.

ECO 6003: Empirical Methods for Dynamic Economic Models

The intent of the course is to equip students with techniques, tools and methods of dynamic analysis of key aggregate economic variables of an evolving economy. Central to this course is an investigation into the development of theories of economic evolution where dynamic behavior of the key aggregate variables representing the essential description of the economy is theoretically and econometrically modeled, analyzed and studied. Topics include investment and capital theories, modern growth theories and the essentials of theories of technological progress.

ECO 6004: International Trade Theory / Global International Economics

The purpose of this course is to give a basic description of international economics theory and mechanism as well as their application in international trade. Topics include international trade theory and policy, international payment system, exchange determination and development. This course examines economies of scale and market structure in international trade, international factor movements, relationship between trade and development and contemporary instruments of international trade policy with special reference to WTO rules.

ECO 6005: Country Risk Analysis

The course provides interactive and intensive involvement of students in the teaching-learning process. The objective is to provide students with hands-on experience in country risk analysis. Case studies are provided as well as material from the IMF/World Bank, rating agencies, the financial press, government source and academic articles. These materials are needed to develop case studies on the following issues: 1) comparative country risk techniques and indicators; 2) sovereign debt restructurings; 3) early warning systems; 4) political risk and 5) individual country studies.

ECO 6006: Advanced Econometrics

The course examines some recently developed topics in econometric theory, which are extensively used in a wide range of economic and financial empirical applications. The focus is on time series and panel data models, from both a theoretical and an empirical perspective. On successful completion of this course, students are expected to understand how econometric concepts can be applied to economic and financial theories, and to have the ability to test for highly debated issues, such as the statistical properties of macroeconomic time series, the existence of a consumption function, convergence in world per capita income, purchasing power parity, the efficient market hypothesis, and volatility in financial markets.

ECO 6007: Topics in Applied Econometrics

This course discusses statistical methods applied to micro data to test economic hypotheses. Starting with a brief review of the classical linear model and hypothesis testing, the course proceeds to more advanced econometric methods that have been developed to address specific problems generated by either the nature of the data or the economic relationships being examined. The course reviews the fundamentals of econometrics using matrix algebra. It considers analytical issues caused by violations of linearity (functional form), influence and outliers, heteroscedasticity and auto-correlation. In addition, the course addresses issues that arise from data missing at random or partially complete, as well as measurement error. The course concludes with implications for research design.

ECO 6008: Game Theory and Business Strategy

This course introduces the basic concept of game theory and its application to business strategy with spatial analysis. It develops the basic tools of game theory through lectures and exercises, and put the tools to work by applying them to business examples and cases. Game theory studies competitive and cooperative behavior in strategic environments, where the fortunes of several players are intertwined. It provides methods for identifying optimal strategies and predicting the outcomes of strategic interactions. It is useful for students who are interested in microeconomics and decision-making. Illustrations from economic and political paradigms will be used, with an emphasis on practical applications. The course outlines the basic tools and concepts in game theory and explores its applicability to a wide variety of real business situations. Business decision-making is inherently strategic and game theory shows what outcomes occur when agents interact strategically with one another. Applications from auction theory, industrial organization, labor and environmental economics and public policy are examined.

ECO 6009: Development Economics

This course focuses on several topics central to the growth and economic development of both developed and developing nations. Its main concern is on helping students understand both the sources of differences in the levels of development across countries and the likely impact of policies designed to foment growth and well-being. General aspects of the theory and evidence on economic development from a policy-oriented perspective are discussed. The first part of the course develops several paradigms of economic growth that constitute the core of modern growth theory and studies several recent empirical applications including issues of convergence between countries, the effects of disease and other aspects of health, the economic consequences of climate change, population growth and international trade. The second part of the course focuses on more specific issues relating to institutions and policies and their impacts on economic development. These issues include a discussion of quantitative measures of institutional quality and their impacts, the role of natural resources, the effectiveness of foreign aid, land markets and property rights, informal credit markets and policies, and impacts of inequality. The coursel conclude with a "mini-conference" in which the students are expected to present and discuss recent papers in development economics and growth.

ECO 6010: Public Sector Economics

Public Sector Economics contains a wide range of topics, all related to the question what tasks in an economic system should be carried out by public institutions and what tasks are to be left to the private sector. The functioning of the public sector in theory and practice is analyzed. That is why we have to realize that the choice about the tasks of the public sector is not exclusively an economic matter. The nature of this course therefore implies a strong focus on institutional, spatial and historical aspects, e.g. when analyzing the processes of state formation and development of accompanying institutions, the origination and development of tax systems and social security arrangements, the possibilities and impossibilities of national policy implementation within an international policy framework. Because of these (political) factors, ‘Economics of the Public Sector’ is an area full of discussion where we can use a lot of the extensive instruments based on applied microeconomics, applied macroeconomics and institutional economics which gives us an interesting insight into the questions.

ECO 6011: Social Capital Management

This course examines the role of social capital in economic development from a multidisciplinary perspective. It investigates diverse fields of the theoretical literature, from sociology to political science, from psychology to economics, as far as the empirical studies addressing the relationship between different dimensions of social capital, economic growth, social well-being and the quality of development.

ECO 6012: International Monetary System and Hedging

This course provides a description of the international financial environment within which multinational firms and financial institutions operate and deals with the theories and practices of international financial management. Through the analysis of international parity conditions, students will learn the fundamental concepts of exchange rate determination. Currency forwards, futures, and options are introduced so as to help students develop the key skills and techniques in managing transaction exposures to exchange rate risk. Accounting and operating exposures are introduced and analyzed during the course as well. In discussing international financing strategies, interest rate instruments such as futures, options, and swaps are introduced to cover interest rate risks. International investment strategies including multinational capital budgeting are also covered in the course. Finally, other aspects of international financial management such as international taxation, transfer pricing, and funds repositioning are discussed during the course.

ECO 6013: Outsourcing & Off-shoring: Information Technology & Globalization

This course provides a sound understanding of the basic principles, skills, and knowledge of project management required to effectively develop and manage an outsourced project in today’s rapidly evolving global business environment. The course orients toward IT projects, but basic principles will apply to non-IT projects. The course puts heavy emphases on forces of change that are sweeping the industry – particularly off-shoring and global delivery. The desired outcome is for students to acquire a global perspective and application of the basic project management skills required in order to successfully develop and manage an outsourced project run from offshore location.

ECO 6014: Dissertation Workshop

The student conducts dissertation research under the guidance of a dissertation adviser and other interested faculty. It is expected that the dissertation contains original research meeting standards of quality roughly equivalent to those of the major academic journals in finance and economics. The students are required to write and defend the dissertations. Content of workshop varies from semester to semester. Topics of applied and theoretical nature with emphasis on current research interests are offered, e.g., energy, natural resources, environment, public policy, etc.