SYLLABUS

BADM 407 MONEY AND BANKING

THE CITADEL

 

Monday, Tuesday, Wednesday, Thursday  10:15 – 12:30

 

Summer 2004

 

INSTRUCTOR:    W. William Woolsey

 

OFFICE:        273-A Bond Hall

TELEPHONE:     953-5161(O) 795-5062(H)

E-MAIL:        Bill.Woolsey@Citadel.Edu

               Wwoolsey@comcast.net

 

 

Prerequisites: BADM 201 and BADM 202

 

OFFICE HOURS: Monday through Thursday, 12:30 – 1:00

             

COURSE OBJECTIVES:

1. Students to be able to describe major steps in the evolution of payments institutions.

2. Students must be able to contrast the process leading to equilibrium in a single bank and the banking system and illustrate those processes with T-Accounts, use appropriate information to calculate the money multiplier and relate base money and the money supply, and explain the effects of the Federal Reserve's major policy instruments and illustrate with appropriate equations and T-Accounts.

3) Students must be able to discuss the consequences of various macroeconomic shocks and illustrate using diagrams and spreadsheets.

4) Students must be able to describe the potential for instability in the banking system and to discuss the advantages and disadvantages of using deposit insurance or central banking as solutions.

5) Students will be able to find monetary and macroeconomic statistics on the Internet download them into a spreadsheet and present the data.

 

COURSE TEXT: Money and Banking:  Lecture Summary—on the web at www.citadel.edu/faculty/woolsey

 

EVALUATION:

            1. Homework          25%

            2. Project           10%

            3. Exams (3)         45%

            4. Final Exam        20%

           

GRADING SCALE:

           90 - 100                 A

           80 - 89                  B

           70 - 79                  C

           60 - 69                  D

           59 and below             F

 

ASSIGNMENTS

     Homework is an important part of this course.  All homework assignments will be graded!  Copying all or part of any assignment (including copying answer sheets) is an honor violation.  Any homework with multiple pages must be stapled.  Your name must be on the front of the paper.  It must be folded vertically and the name placed on the outside

     The project requires the compilation of a series of money and banking statistics, graphs, and brief written descriptions of their performance.


    Students must complete three in‑class exams and a cumulative final exam.  There will be essay questions on the concepts and processes discussed in the class lectures.  There will be problems and diagrams similar to the homework assignments.

     Numeric grades are assigned for all assignments on a 100 point scale.  No particular assignment is every "curved."  There will be no curve at mid-term.  It is possible, however, that the final grades for the course will be "curved."

SCHEDULE:

Date

Lecture Topic

Lecture Summary

1-Jun

What is Money

1

 

2-Jun

Evolution of Money

2

 

2-Jun

Early Coins

3

 

3-Jun

Early Banking

4

 

3-Jun

Lending Reserves

5

 

7-Jun

Single Bank Equilibrium

 

 

8-Jun

Exam 1

6

 

9-Jun

Banking System Equilibrium

7

 

10-Jun

Banking Algebra

8

 

10-Jun

Federal Reserve System

9

 

14-Jun

 

9

 

15-Jun

Money Demand

10

 

15-Jun

Fundamental Proposition

11

 

16-Jun

Exam 2

 

 

17-Jun

Real Macroeconomics

12

 

17-Jun

Money Supply and Demand

13

 

21-Jun

IS-LM

14

 

22-Jun

AS-AD

15

 

22-Jun

Money Dynamics

16

 

23-Jun

Exam 3

 

 

24-Jun

Monetary Dynamics

16

 

28-Jun

Deposit Insurance

19,20

 

29-Jun

Lender of Last Resort

21

 

30-Jun

Final Exam 1:00