Educational offer - University of Padova

Syllabus

Prerequisites:	FINANCIAL ECONOMICS Math, Statistics, Econometrics This course is math-intensive and statistics-intensive and it is a difficult course, unsuitable for undergraduate Erasmus exchanges. ************************ ADVANCED MICROECONOMICS Math, Statistics, Econometrics This course is math-intensive and statistics-intensive and it is a difficult course, unsuitable for undergraduate Erasmus exchanges.
Target skills and knowledge:	FINANCIAL ECONOMICS Aim of the course is to offer students some of the economics tools applicable to finance. Both micro and macroeconomic models are introduced to present various economic and finance issues. The main themes recurring throughout the course are uncertainty, asymmetric information, intertemporal decisions of consumption and investment and asset pricing. Various aspects of the 2007-2009 financial crisis, and how it morphed into the public debt crisis will be analyzed. The course is maths and statistics intensive. Passed experiences suggest that this is a difficult course, unsuitable for undergraduate Erasmus exchanges. *************************************************************** ADVANCED MICROECONOMICS Aim of the course: to introduce and extend major topics in microeconomics including consumer theory, production theory, economics of uncertainty, information asymmetry, signaling. At the end of the course, students will have the groundwork necessary for taking economics to a higher level. The course is offered jointly by Prof. Manenti (28 hours) and Prof. Parigi (42 hours) that will alternate in class according to the tentative schedule indicated below. For organizational reasons the lectures on Uncertainty: Introduction, and Information: Moral hazard and Adverse selection (approx 22 hours), are offered together with the students of the curriculum in Banking and Finance. Course attendance is strongly suggested. Only part of the material for the exam is available on line. For those students that for whatever reason (e.g. work, distance, late graduation, etc.) cannot attend a large number of classes we suggest to talk to the teachers in person before attempting the exam, as we would be happy to provide guidance.
Examination methods:	FINANCIAL ECONOMICS Exam sessions: written or oral at the teacher discretion. Students are expected to answer 4 questions: 3 are closed form analytical questions; 1 is an open question aimed at testing critical thinking. Copies of previous exams and their solutions are available on line. Students are invited to obtain them to familiarize with style and difficulty. ******************************************************** ADVANCED MICROECONOMICS To be announced at the beginning of the course
Assessment criteria:	FINANCIAL ECONOMICS Details to be announced at the beginning of the course ************************************************************* ADVANCED MICROECONOMICS Details to be announced at the beginning of the course
Course unit contents:	FINANCIAL ECONOMICS PART I. METHODOLOGY Decisions under uncertainty and demand for insurance Demand for insurance with asymmetric information Basic of bonds, stocks, seniority, collateral PART II. CRISIS Financial instability: Theory Financial instability: Applications Financial instability: liquidity The role of bank capital Crisis: debt overhang, legacy assets, difficulty of raising capital Crisis and asset valuations Credit relationship PART PART III MACRO Crisis and public debt: models Crisis and public debt: empirical evidence Asset pricing Anomalies in Portfolio choices PART IV. CORPORATE FINANCE Signaling in corporate finance Payout policies Market micro structure Corporate Governance and incentives PART V. RISK Risk structure of interest rates and hedging ****************************************** ADVANCED MICROECONOMICS CONSUMER THEORY (Manenti) approx. 10 hours UNCERTAINTY: INTRODUCTION (Parigi) approx. 12 hours together with students of Financial Economics INFORMATION: MORAL HAZARD AND ADVERSE SELECTION (Parigi) approx. 10 hours together with students of Financial Economics PRODUCTION THEORY (Manenti) approx. 8 hours MARKET STRCUTURE: INTRODUCTION (Manenti) approx. 10 hours UNCERTAINTY: ADVANCED TOPICS (Parigi) approx. 8 hours INCENTIVES (Parigi) approx. 6 hours SIGNALING (Parigi) approx. 6 hours
Planned learning activities and teaching methods:	FINANCIAL ECONOMICS Presentation of mathematical models by teacher and exercises. Students presentations. ADVANCED MICROECONOMICS Presentation of mathematical models by teacher and exercises.
Additional notes about suggested reading:	FINANCIAL ECONOMICS There is no textbook, only teacher’s lecture notes. Most of the lectures are on line in the web site of this course and the relevant file is indicated near the topic. Previous exams and solutions are on line in the web site of this course. *************************************************** ADVANCED MICROECONOMICS The lectures of Manenti are based on i) teacher’s notes and ii) a good text in Microeconomics, e.g. Varian, H. Microeconomic Analysis, Norton, 1994. The lectures of Parigi are based on teacher’s notes. The texts of many, but not all, lectures are available on line in the moodle platform.
Textbooks (and optional supplementary readings)	none, --. --: --, --.