International Finance

Required Readings and Documentary: International Finance

Contents:

  • Reading #1a: Greenlaw and Shapiro 2018, “Money and Banking”
  • Reading #1b: Greenlaw and Shapiro 2018, “International Trade and Capital Flows”
  • Reading #1c: Greenlaw and Shapiro 2018, “Exchange Rates and International Capital Flows”
  • Reading #2: Hennessey et al. 2011
  • Documentary: Frontline 2012

Introducing the readings:

This unit’s readings and online documentary provide an introduction to international finance. To define and connect key concepts, Greenlaw and Shapiro (2018) describe 1a) money and banking, 1b) the link between international capital flows and international trade, and 1c) the link between international capital flows and exchange rates. All of these are excerpts from Greenlaw and Shapiro’s OER textbook on macroeconomics.

Hennessey et al. (2011) offer an application of these concepts to dissecting the causes of the 2008 Global Financial Crisis. To understand the ways in which international finance affects personal, community, national, and global outcomes, this statement to the US Financial Crisis Inquiry Commission notes several interrelated causes of the 2008 crisis. Part One of Frontline’s 2012 documentary, “Money, Power, and Wall Street,” offers a powerful illustration of these forces at work.