Universität Wien

040054 KU Banking and Financial Intermediation 1 (MA) (2023W)

4.00 ECTS (2.00 SWS), SPL 4 - Wirtschaftswissenschaften
Continuous assessment of course work
MIXED

What is expected of you in class?
Students should arrive on time for class and remain until the end of the class.
During class, it is not acceptable to use cell phones or send text messages, leave temporarily to get coffee or make a call, do other work, or use laptop/tablet computers for any reason other than to take notes.
Although it should go without saying, students in this course are required to adhere
to the University of Vienna’s Code of Conduct. Any violation of this code, such as
cheating in any form, will be treated with severity.

Attendance is compulsory. This also applies to the guest lecture. Missing more than one class without a medical certificate results in not receiving credit for the class.

Lecture notes and recordings *(recordings are available https://drive.google.com/drive/folders/1fXkqErl_vn2UK9X8K_SKsk3dgNvuButX )
Moodle

Registration/Deregistration

Note: The time of your registration within the registration period has no effect on the allocation of places (no first come, first served).

Details

max. 50 participants
Language: English

Lecturers

Classes (iCal) - next class is marked with N

Midterm: Tu 12.12.2023, 09.45 am, HS 6, OMP1
Final Exam: Th 25.01.2024, 9.45 am, HS 3, OMP1

Thursday 23.11. 09:45 - 11:15 Hörsaal 15 Oskar-Morgenstern-Platz 1 2.Stock
Thursday 23.11. 11:30 - 13:00 Hörsaal 9 Oskar-Morgenstern-Platz 1 1.Stock
Thursday 30.11. 09:45 - 11:15 Hörsaal 9 Oskar-Morgenstern-Platz 1 1.Stock
Thursday 30.11. 11:30 - 13:00 Hörsaal 11 Oskar-Morgenstern-Platz 1 2.Stock
Thursday 07.12. 09:45 - 11:15 Hörsaal 14 Oskar-Morgenstern-Platz 1 2.Stock
Thursday 07.12. 11:30 - 13:00 Hörsaal 3 Oskar-Morgenstern-Platz 1 Erdgeschoß
Tuesday 12.12. 09:45 - 11:15 Hörsaal 6 Oskar-Morgenstern-Platz 1 1.Stock
Thursday 14.12. 09:45 - 11:15 Hörsaal 14 Oskar-Morgenstern-Platz 1 2.Stock
Thursday 14.12. 11:30 - 13:00 Hörsaal 14 Oskar-Morgenstern-Platz 1 2.Stock
Tuesday 09.01. 11:30 - 13:00 Hörsaal 9 Oskar-Morgenstern-Platz 1 1.Stock
Tuesday 09.01. 13:15 - 14:50 Hörsaal 17 Oskar-Morgenstern-Platz 1 2.Stock
Thursday 11.01. 09:45 - 13:00 Hörsaal 14 Oskar-Morgenstern-Platz 1 2.Stock
Thursday 25.01. 09:45 - 11:15 Hörsaal 15 Oskar-Morgenstern-Platz 1 2.Stock
Hörsaal 3 Oskar-Morgenstern-Platz 1 Erdgeschoß

Information

Aims, contents and method of the course

The Financial Intermediation I course is an introductory course that forms the first part of a two-course sequence covering topics in Financial Intermediation. The aim of the course is to provide a broad conceptual and practical platform for analysing issues in Financial Intermediation.
This course commences with a brief theoretical foundation of intermediation theory, and then moves on to introduce students to key themes in financial intermediation such as the role of banks as delegated monitors; banks as liquidity providers; bank-borrower relationships and loan contracting; the industrial organization view of the banking systems and the reasons for regulation. The module places emphasis on the theoretical foundations of the microeconomics of banking and how these theories guide researchers to formulate empirical hypotheses and testing them in the data.
There will be one guest lecture. T
Upon completing this course student should be able to:
• Understand the main functions of financial intermediaries
• Discuss the importance of these functions for the efficient resource allocation in the economy.
Course Content
Session 1: Introduction: Why are financial intermediaries useful?
Liquidity Creation by banks
Session 2: The role of banks in resolving informational frictions (delegated monitoring)
Session 3: Relationship banking: Theory and Empirics
Midterm Exam
Session 4: Introduction to the theory of bank regulation
Session 5: Fintech (by Dr. Roberto Pinto, Lancaster University) + Wrap-up and exam preparation
Session 6: Guest Lecture: Dr. Philipp Kaiser-Hiebinger (FMA)
Final Exam

Assessment and permitted materials

The course “Financial Intermediation I” consists of 7 three hour sessions. Sessions consist of lectures, covering both theory and empirics.
What do I expect from you in class
This is an interactive course, where your active participation is required. Attendance is compulsory.
A learning area will be available in the Intranet (Moodle). There, you would find instructions for the sessions, communications, bibliography, etc. Please look at it a couple of times a week. Slides of the sessions will also be posted here, always BEFORE the class.
Laptop/tablets policy.
You are not supposed to use your laptop/tablets during case discussions. You have to be 100% focused in the discussions. You may use your laptops/tablets on the lectures/discussion sessions ONLY for academic purposes, emailing, facebooking, tweeting, chatting, skyping, internet surfing, etc. should NOT be done during classes. Engaging yourself in such activities would penalize strongly your grade on class participation.

Minimum requirements and assessment criteria

Attendance is COMPULSORY. The evaluation will be based on the following items:
50% Mid-term Exam
50% Final Exam

Examination topics

All lecture materials and paper presentations.

Reading list

The main reading material for the course is contained in:
• Lecture Notes
• Freixas, X. and Rochet, J.-C. (2008), Microeconomics of Banking, MIT Press.
• Gorton, G. and Winton, A. (2003), “Financial intermediation”, Handbook of the Economics of Finance, Vol. 1, 431–552.
• Greenbaum, S., Thakor A., and Boot, A. (2016), Contemporary Financial Intermediation, Elsevier Press.
• Research papers covered in the lectures.

Association in the course directory

Last modified: Mo 22.01.2024 14:45