- Department: Economics and Related Studies
- Module co-ordinator: Prof. Kostas Koufopoulos
- Credit value: 10 credits
- Credit level: D
- Academic year of delivery: 2021-22
- See module specification for other years: 2022-23
The course will cover the following topics:
· Capital Budgeting
· The MM Propositions, the Effects of Taxes, Financial Distress/Bankruptcy Costs and the Static Trade-off Theory
· Capital Structure under Adverse Selection
· Capital Structure under Moral Hazard
· Payout Policy
· Mergers and Takeovers
· Theory of Financial Intermediation/Banking
· Regulation of Financial Intermediaries/Banks
Asset Pricing, Microeconomics
Occurrence | Teaching period |
---|---|
A | Spring Term 2021-22 |
The module aims are to:
On successful completion of this module, students should be able to:
Explain the different theories in corporate finance and banking and derive their empirical and policy implications;
Critically assess the different theories in corporate finance and banking;
Solve agency models related to corporate finance and banking;
Describe the incentive problems that can occur due to asymmetric information and ways to solve them through contract/mechanism design.
Task | Length | % of module mark |
---|---|---|
Essay/coursework Short Research Project |
N/A | 100 |
None
Task | Length | % of module mark |
---|---|---|
Essay/coursework Short Research Project |
N/A | 100 |
Written feedback within 20 working days be provided in accordance to the University Policy on Assessment Feedback and Turnaround Time.
Bolton and Dewatripont (BD), Contract Theory, MIT Press, 2005.
Freixas and Rochet (FR), Microeconomics of Banking, MIT Press, 2008.
Tirole (T), The Theory of Corporate Finance, Princeton University Press, 2006.