http://www.econ-courses.com/parke/185summer2006/ Copyright 2006 Fri, 09 Jun 2006 00:33:32 -0500 http://www.movabletype.org/?v=3.11 http://blogs.law.harvard.edu/tech/rss We capped the week with an introduction of the Simple IS-MP Model.... http://www.econ-courses.com/parke/185summer2006/archives/2006/06/the_simple_ismp.html http://www.econ-courses.com/parke/185summer2006/archives/2006/06/the_simple_ismp.html Fri, 09 Jun 2006 00:33:32 -0500 The transactions demand for money and fractional reserve banking (with open market operations) anchor the demand and supply of money.... http://www.econ-courses.com/parke/185summer2006/archives/2006/06/monetary_econom.html http://www.econ-courses.com/parke/185summer2006/archives/2006/06/monetary_econom.html Fri, 09 Jun 2006 00:04:42 -0500 We extended our discussion of the mean-variance analysis diagram. We then discussed hedging and speculating using options.... http://www.econ-courses.com/parke/185summer2006/archives/2006/06/more_risk.html http://www.econ-courses.com/parke/185summer2006/archives/2006/06/more_risk.html Wed, 07 Jun 2006 00:01:42 -0500 We reviewed the concepts of expected value, variance, and standard deviation. We then went through page 3 in the handout, showing that the utility-based valuation of risk and the statistical view are similar. We concluded by introducing the mean-variance analysis... http://www.econ-courses.com/parke/185summer2006/archives/2006/06/a_statistical_v.html http://www.econ-courses.com/parke/185summer2006/archives/2006/06/a_statistical_v.html Tue, 06 Jun 2006 23:53:24 -0500 We began to consider how to analyze asset markets when the outcomes are uncertain.... http://www.econ-courses.com/parke/185summer2006/archives/2006/06/risk.html http://www.econ-courses.com/parke/185summer2006/archives/2006/06/risk.html Mon, 05 Jun 2006 21:13:18 -0500 http://www.econ-courses.com/parke/185summer2006/archives/2006/06/midterm_answers.html http://www.econ-courses.com/parke/185summer2006/archives/2006/06/midterm_answers.html Mon, 05 Jun 2006 21:07:29 -0500 We are spending Tuesday and Wednesday getting ready for the midterm on Thursday.... http://www.econ-courses.com/parke/185summer2006/archives/2006/05/getting_ready_f.html http://www.econ-courses.com/parke/185summer2006/archives/2006/05/getting_ready_f.html Tue, 30 May 2006 22:01:21 -0500 The Expectations Hypothesis is one possible linkage between short-term interest rates and long-term interest rates. If future interest rates are largely determined by future inflation, then the long-term bond market is going to be sensitive to forecasts of future inflation.... http://www.econ-courses.com/parke/185summer2006/archives/2006/05/the_expectation.html http://www.econ-courses.com/parke/185summer2006/archives/2006/05/the_expectation.html Tue, 30 May 2006 21:55:14 -0500 We looked at a more equation-oriented view of the linkages, showing how interest rates, inflation rates, and changes in the exchange rate might be related for two countries.... http://www.econ-courses.com/parke/185summer2006/archives/2006/05/exchange_rates_1.html http://www.econ-courses.com/parke/185summer2006/archives/2006/05/exchange_rates_1.html Fri, 26 May 2006 21:53:23 -0500 We discussed the Purchasing Power Parity and Interest Rate Parity views of linkages between countries.... http://www.econ-courses.com/parke/185summer2006/archives/2006/05/exchange_rates.html http://www.econ-courses.com/parke/185summer2006/archives/2006/05/exchange_rates.html Thu, 25 May 2006 21:51:15 -0500 By letting the horizontal axis be young (age... http://www.econ-courses.com/parke/185summer2006/archives/2006/05/ppf_optimal_inv.html http://www.econ-courses.com/parke/185summer2006/archives/2006/05/ppf_optimal_inv.html Wed, 24 May 2006 20:53:50 -0500 Introducing a Production Possibility Frontier allows us to extend the Intertemporal Substitution framework to study the optimial saving for retirement. We also demonstrate that people benefit from the existence of financial markets in that they attain higher utilities than would... http://www.econ-courses.com/parke/185summer2006/archives/2006/05/ppf_optimal_sav.html http://www.econ-courses.com/parke/185summer2006/archives/2006/05/ppf_optimal_sav.html Tue, 23 May 2006 20:56:18 -0500 We modified the Two Goods - Two Prices diagram to have one good in two time periods. The budget constraint then incorporates the interest rate.... http://www.econ-courses.com/parke/185summer2006/archives/2006/05/intertemporal_s.html http://www.econ-courses.com/parke/185summer2006/archives/2006/05/intertemporal_s.html Tue, 23 May 2006 20:12:24 -0500 We used the decision to go to college as an example of a typical investment decision. The costs are in the near future, and the benefits are spread over a much longer period. The decision to make the investment depends... http://www.econ-courses.com/parke/185summer2006/archives/2006/05/investment_in_e.html http://www.econ-courses.com/parke/185summer2006/archives/2006/05/investment_in_e.html Mon, 22 May 2006 21:01:33 -0500 We studied the market values of fixed rate mortgages.... http://www.econ-courses.com/parke/185summer2006/archives/2006/05/mortgages.html http://www.econ-courses.com/parke/185summer2006/archives/2006/05/mortgages.html Fri, 19 May 2006 22:30:23 -0500