line to Moodle
submit an essay of 2,500 words on line to Moodle . The essay must be in answer to one of the questions below.
Please note, Study Abroad students should not do this coursework. Separate coursework will be set for them.
Additional guidelines may be found in the course outline.
You are reminded of the School’s regulations on plagiarism. Your coursework should include a full bibliography listing the sources you have used.
1. Examine the monetary policy goals and tools of central banks for the “Great Moderation” period. How do the central banks implement the monetary policy to
achieve their goal in practice?
2. Examine the conventional and unconventional tools of central banks for the period 1990-2014. Discuss the current challenges of central banks.
3. How do investors build an optimal portfolio according to mean-variance portfolio theory? Explain risk reduction through diversification.
4. What features of banking cause bank failure? How could banks prevent this?
5. How does credit multiplier explain the expansion of credit in an economy?