International Finance Day 1 Dr. Andrew L. H. Parkes “An International Understanding for use in Business” 卜安吉

International FinanceInternational FinanceDay 1Day 1

Dr. Andrew L. H. ParkesDr. Andrew L. H. Parkes““An International Understanding for use in Business”An International Understanding for use in Business”

卜安吉卜安吉

September 8, 2009September 8, 2009 International Finance, Day 1International Finance, Day 1 22

Syllabus and Our CourseSyllabus and Our Course

The syllabus provides an The syllabus provides an outline of what we will outline of what we will cover during the term: cover during the term: Chapters 1 and 12 Chapters 1 and 12 through 18 of the through 18 of the textbook.textbook.

This week we will cover This week we will cover Chapters 1 and 12.Chapters 1 and 12.

The required textbook


Lectures and Practice Lectures and Practice ProblemsProblems

Lectures:Lectures: 4 hours per week I will 4 hours per week I will introduce the new material to you.introduce the new material to you.

Practice Problems:Practice Problems: We will do We will do assignments from my slides and assignments from my slides and from the textbook.from the textbook.

You will have to prepare assignments You will have to prepare assignments for every class; there is NO class for every class; there is NO class without without homework. homework.

You will do You will do all of your own workall of your own work during during the course. the course. Copied assignments will be Copied assignments will be given 0 marks.given 0 marks.

Notice you must have access to WSJ, FT Notice you must have access to WSJ, FT (also investopedia.com – Forbes, etc.).(also investopedia.com – Forbes, etc.).

Keep up to date withEconomics related issues


GradingGrading

Mid-term test - 20%Mid-term test - 20% Final ExamFinal Exam - 50% - 50% Homework Homework - 20% - 20% QuizzesQuizzes - 10% - 10%

Total Total - 100% - 100%


Global EconomicsGlobal Economics (Ch. 1) (Ch. 1) Macroeconomics and Macroeconomics and

Microeconomics are Microeconomics are Required to understand Required to understand this coursrthis coursr

Definitions: You know Definitions: You know MANY of these already!MANY of these already!

Real GDP, CPI, GDP Real GDP, CPI, GDP deflator, deflator, Unemployment rate, …Unemployment rate, …


SEE MY WEBSITE: SEE MY WEBSITE: andrewparkes.comandrewparkes.com

1.1. Often and regularlyOften and regularly

2.2. Kept ahead of classKept ahead of class

3.3. Links and PPT Links and PPT

4.4. Other informationOther information

Like this =>Like this =>Total Public Debt Outstanding

$ 9,139,880,193,861.94 11/29/2007

$ 9,668,194,123,052.30 9/4/2008


Yuan trades at what rate Yuan trades at what rate today?today?

See my website for articles we See my website for articles we discuss!discuss!

Three Goals of any Three Goals of any MACROECONOMYMACROECONOMY

– Full Employment – Unemployment RateFull Employment – Unemployment Rate

– Economic Growth – REAL GDPEconomic Growth – REAL GDP

– Price Stability - CPIPrice Stability - CPI

– KNOW what real GDP and CPI meanKNOW what real GDP and CPI mean


U. S. Real GDP 2000 - 2007U. S. Real GDP 2000 - 2007

Forecast 3rd Qtr. 2.5% growth 4th … .6%?


Prices Prices of Gross Domestic of Gross Domestic Purchases 2000 - 2007Purchases 2000 - 2007


G-20G-20

The Group of 20, or G-20, is an international The Group of 20, or G-20, is an international body that meets to discuss economic body that meets to discuss economic issues. Its members -- 19 countries with issues. Its members -- 19 countries with some of the world's biggest industrial and some of the world's biggest industrial and emerging economies, plus the European emerging economies, plus the European Union -- represent about 90 percent of the Union -- represent about 90 percent of the world's gross national product, 80 percent world's gross national product, 80 percent of world trade (including trade within the of world trade (including trade within the European Union) and two-thirds of the European Union) and two-thirds of the global population. global population.

http://topics.nytimes.com/top/reference/timestopics/organizations/g/group_of_20/index.html?inline=nyt-org


G-20 MembersG-20 Members

The member countries are Argentina, The member countries are Argentina, Australia, Brazil, Britain, Canada, China, Australia, Brazil, Britain, Canada, China, France, Germany, India, Indonesia, Italy, France, Germany, India, Indonesia, Italy, Japan, Mexico, Russia, Saudi Arabia, Japan, Mexico, Russia, Saudi Arabia, South Africa, South Korea, Turkey and South Africa, South Korea, Turkey and the United States. The European Union the United States. The European Union is also a member, represented by the is also a member, represented by the rotating council presidency and the rotating council presidency and the European Central Bank. European Central Bank.

http://topics.nytimes.com/top/reference/timestopics/organizations/g/group_of_20/index.html?inline=nyt-org


KNOW WHO THE FED IS!?!KNOW WHO THE FED IS!?!

See my website if you need more See my website if you need more info …info …– PPT from week 2 or 3 IntroPPT from week 2 or 3 Intro– U.S. Macroeconomic SitesU.S. Macroeconomic Sites

People’s Bank of ChinaPeople’s Bank of China– Website is available from mineWebsite is available from mine– Know who they are and what they do!Know who they are and what they do!– These are the most important financial These are the most important financial

institutions in this class!institutions in this class!


Where is THIS?Where is THIS?

Documents

International Finance Day 1 Dr. Andrew L. H. Parkes “An International Understanding for use in Business” 卜安吉