Ateneo - UPO

The integrated course analyses the functioning of monetary and financial systems from two complementary perspectives. The Monetary Economics module examines the role of central banks, monetary policy instruments, and their transmission to the real economy and financial markets. The Information Economics module examines how uncertainty, incomplete markets, and asymmetric information affect agents’ decisions, the structure of contracts, the functioning of insurance and credit markets, and the role of financial intermediaries.

Taken together, the two modules make it possible to analyse both how macroeconomic and monetary conditions affect the risks and opportunities faced by individual agents and how their decisions, together with the informational and contractual structure of markets, influence the functioning of the financial system and the transmission of monetary policy.

The textbooks, supplementary readings, and other teaching materials are specified in the syllabi of the two modules and, where applicable, made available on the DIR platform.

The integrated course aims to provide a unified understanding of the functioning of monetary and financial systems by combining two complementary levels of analysis. From a macroeconomic and institutional perspective, the Monetary Economics module examines the role of central banks, the determination of monetary conditions, and the transmission of monetary policy. The Information Economics module investigates the underlying microeconomic foundations by analysing decision-making under uncertainty, incomplete markets, asymmetric information, contracts, and the role of financial intermediaries.

The integration of these two perspectives makes it possible to understand how macroeconomic conditions and monetary policy decisions affect states of the world and the distribution of returns and risks faced by economic agents and, consequently, their financial, insurance, and contractual decisions. At the same time, it enables students to analyse how agents’ incentives, the distribution of information, the structure of contracts, and the behaviour of financial intermediaries influence the transmission of monetary policy through financial and credit markets.

The integrated course therefore aims to develop students’ ability to apply macroeconomic and microeconomic models jointly to the analysis of the monetary and financial system and to assess their assumptions, results, implications, and limitations critically.

Basic knowledge of Macroeconomics, including the IS-LM model, Microeconomics, Mathematics, particularly algebra and calculus, and Statistics is required.

The integrated course carries 12 ECTS credits and comprises a total of 90 hours of in-person teaching, equally divided between the two modules.

Teaching consists primarily of lectures devoted to the models and analytical tools included in the programme. Seminars and instructor-guided activities involving the solution and discussion of exercises and applications are also included. For the specific teaching methods adopted in each module, students should refer to the corresponding syllabi.

Attendance is strongly recommended.

Students with disabilities, Specific Learning Disabilities, or Special Educational Needs may request dedicated services and support from the University office responsible for student careers and services. After contacting the relevant University office, students may contact the module instructors to agree on appropriate examination arrangements concerning the academic aspects of the assessment.

The final examination consists of two written tests, one for each module, each lasting 90 minutes. For the specific assessment methods adopted in each module, students should refer to the corresponding syllabi.

The final grade is awarded by the Examination Board on the basis of an overall assessment of the written tests. The overall examination grade is expressed on a scale of 30.

The following levels of achievement correspond to the different grade ranges:

18-21/30: knowledge of the essential course content and ability to apply the tools of economic analysis, although with some uncertainty;
22-24/30: adequate knowledge of the course content and a satisfactory ability to apply the tools of economic analysis and support the answers with appropriate reasoning;
25-27/30: thorough knowledge of the course content, a good ability to apply the tools of economic analysis, and the ability to provide sound justification for the answers;
28-30/30: complete and rigorous knowledge of the course content, full command of the tools of economic analysis, independent judgement, and the ability to develop clear and well-supported arguments.

Honours may be awarded by the Examination Board on the basis of the overall results achieved in the tests relating to the two modules when they demonstrate particularly comprehensive preparation, full command of the topics, and the ability to assess the policies examined critically.

The integrated course consists of two modules.

The Monetary Economics module covers the functioning of the monetary system, the role of central banks, monetary policy models, conventional and unconventional monetary policies, and the independence and credibility of central banks.

The Information Economics module covers intertemporal choice and decision-making under uncertainty, complete and incomplete financial markets, asymmetric information, and contract theory, with applications to insurance and credit markets and financial intermediation.

For a detailed description of the topics covered, including any sessions devoted to gender-related issues, students should refer to the syllabi of the individual modules.

By the end of the integrated course, students are expected to have achieved the following learning outcomes.

Knowledge and understanding: Knowledge and understanding of the main macroeconomic models relating to central banking and monetary policy and the main microeconomic models relating to intertemporal choice, uncertainty, asymmetric information, contracts, and financial intermediation.

Applying knowledge and understanding: Ability to formalise and solve economic problems, apply the models to monetary, financial, insurance, and credit markets, and interpret their results and economic policy implications.

Making judgements: Ability to select the appropriate model, assess its assumptions and limitations critically, compare alternative policies or institutional arrangements, and formulate judgements consistent with the analysis performed.

Communication skills: Ability to present economic reasoning clearly and rigorously in writing, using verbal, mathematical, and graphical language appropriately.

Learning skills: Ability to use the tools acquired independently, identify connections between the macroeconomic and microeconomic models examined, understand advanced material, and interpret monetary policy documents.

These learning outcomes contribute to students’ ability to understand the functioning of central banks, other financial institutions, and monetary and financial markets, and to analyse contracts and financial intermediation under uncertainty and asymmetric information, in accordance with the professional profile of the economic and financial analyst envisaged by the Degree Programme.