1	Course Title:	EXCHANGE RATE ECONOMICS
2	Course Code:	IKT6109
3	Type of Course:	Optional
4	Level of Course:	Third Cycle
5	Year of Study:	1
6	Semester:	1
7	ECTS Credits Allocated:	3
8	Theoretical (hour/week):	2
9	Practice (hour/week) :	0
10	Laboratory (hour/week) :	0
11	Prerequisites:	None
12	Recommended optional programme components:	None
13	Language:	Turkish
14	Mode of Delivery:	Face to face
15	Course Coordinator:	Prof. Dr. EMİN ERTÜRK
16	Course Lecturers:	Prof.Dr. Emin ERTÜRK
17	Contactinformation of the Course Coordinator:	Prof.Dr. Emin ERTÜRK eerturk@uludag.edu.tr, +902242941086, Uludağ Üniversitesi,Görükle Kampüsü,İİBF, Dekanlık 4. Kat, Nilüfer, Bursa, TÜRKİYE
18	Website:
19	Objective of the Course:	To deepen the knowledge on monetary aspect of international economic relations.
20	Contribution of the Course to Professional Development

21

Learning Outcomes:

1 To gain further knowledge on international monetary system.; 2 To learn more and compare the characteristics of fixed and flexible Exchange rates.; 3 To learn more on the process of Exchange rate determination.; 4 To study the theories explaining Exchange rate formation via commodity and service flows.; 5 To study the theories explaining Exchange rate formation via capital flows.; 6 To gain further knowledge on Exchange rate systems in a historical perspective.; 7 To gin further knowledge on the Bretton-Woods system and study the explanations of its demise.; 8 To study the determinants of Exchange rate. ; 9 To study the Exchange rate markets and transactions in this particular market.; 10 To learn and study the role of futures transactions in Exchange rate markets and Exchange rate formation.;

22	Course Content:

Week	Theoretical	Practical
1	Introductin:From Money to Exchange rate
2	Fixed Exchange Rates: Areas of implementation, gains and costs.
3	Flexible Exchange Rates: Areas of implementation, gains and costs.
4	Risk Management: Futures transactions, actors and their actions.
5	Management of Exchange Rates:Crawling parity,currency areas and monetary unions.
6	Case studies
7	Crisis and Crisis Management
8	Exchange Rate Determination: The Flow Model, PPP, the Monetary approach AND Keynesian approach
9	Approaches based on Capital Flows,the Mundell- Flemming(MF) Model
10	Sticky prices and expectations, extention of the MF model.
11	Modern Monetary Approaches:Frenkel, rational, adabtive and regressive expectations.
12	Chaos and the Exchange rate market, chaotic determinism.
13	Stock-Flow Models:Currency substitution, the Ricardian equivalance theorem
14	Cost of exchange rate volatility

23	Textbooks, References and/or Other Materials:	Emin Ertürk, Döviz Ekonomisi, Der Yayınları, İstanbul, 1994. Emin Ertürk, Türkiye İktisadında Yeni Bir Boyut; Para İkamesi, Kavram, Teori Oluşum Süreci, Ve Sonuçları,Uludağ Yayınları, Bursa, 1991 Ronald Mac Donald, Exchange Rate Economics:Theories and Evidence, Routledge, 2007 Diğer kaynaklara ek olarak Paul Krugman, “Exchange Rate Instability”, Journal of Economic Dynamics and Control ,vol.15, issue2, 1991 R. Dornbusch, “Exchange Rate Expectations AND Monetary Policy”, Journal of International Economics, 1976, pp.231-244 J.M. Flemming, “Domestic Financial Policies Under Fixed and Under Floating Exchange Rate”, IMF Staff Papers, 3, 1962 J.A. Frenkel, “A Monetary Approach to the Exchange Rate:Doctrinal Aspects and Empirical Evidence”, Scandinavian Journal of Economics, 78, 1976,pp.200-248 M. Friedman, “The Case of Flexible Exchange Rate”, in Essays in Positive Economics, University of Chicago
24	Assesment

TERM LEARNING ACTIVITIES	NUMBER	PERCENT
Midterm Exam	0	0
Quiz	0	0
Homeworks, Performances	1	50
Final Exam	1	50
Total	2	100
Contribution of Term (Year) Learning Activities to Success Grade		50
Contribution of Final Exam to Success Grade		50
Total		100
Measurement and Evaluation Techniques Used in the Course
Information

25

ECTS / WORK LOAD TABLE

Activites	NUMBER	TIME [Hour]	Total WorkLoad [Hour]
Theoretical	14	2	28
Practicals/Labs	0	0	0
Self Study and Preparation	14	2	28
Homeworks, Performances	1	15	15
Projects	0	0	0
Field Studies	0	0	0
Midtermexams	0	0	0
Others	0	0	0
Final Exams	1	17	17
Total WorkLoad			88
Total workload/ 30 hr			2,93
ECTS Credit of the Course			3

26	CONTRIBUTION OF LEARNING OUTCOMES TO PROGRAMME QUALIFICATIONS
PQ1 PQ2 PQ3 PQ4 PQ5 PQ6 PQ7 PQ8 PQ9 PQ10 PQ11 LO1 5 4 4 3 2 2 2 2 4 5 5 LO2 5 5 3 4 4 3 5 4 4 5 5 LO3 5 5 2 5 4 3 5 4 4 5 5 LO4 5 4 4 5 3 3 5 4 4 5 5 LO5 5 5 5 5 5 4 4 4 5 5 5 LO6 1 5 4 4 5 4 2 1 5 4 4 LO7 5 4 4 5 4 2 2 3 5 2 5 LO8 2 5 5 5 5 4 2 4 4 3 4 LO9 3 3 1 5 2 4 1 5 4 3 2 LO10 5 4 5 5 5 4 5 1 5 5 1

LO: Learning Objectives

PQ: Program Qualifications

Contribution Level:

1 Very Low

2 Low

3 Medium

4 High

5 Very High