FM447      Half Unit
Global Financial Systems

This information is for the 2019/20 session.

Teacher responsible

Dr Jon Danielsson


This course is available on the MSc in Accounting and Finance. This course is available with permission as an outside option to students on other programmes where regulations permit.


This course is not open to students on the MSc Economics and Managements and students from the following departments: Economics, Finance, Mathematics, and Statistics


Students should have some background in economics, and be comfortable with formal arguments

Course content

This course examines the academic and policy debates on the operation of the global financial system. The course will aim to be topical, where the analysis of the issues will be based on economic arguments. The course begins with analysis of systemic risk, followed by an overview of important financial crisis and key institutions. The role of cryptocurrencies, fintec, artificial intelligence and machine learning on the financial system will be discussed. Several theories of financial crises are then developed in some detail, and are assessed by reference to historical experience. The course concludes by analysis of the 2008 crisis latest policy and regulatory developments (including Basel III), monetary policy and interest rate normalization and their relationship with inequality, the current situation in the European Union, Brexit, Trump and the role of China.


20 hours of lectures and 10 hours of seminars in the MT.

Formative coursework

Students are expected to attempt the problem sets and essay questions set in the classes.

Indicative reading

Most material will be provided by the book Global Financial Systems (, by Jon Danielsson, published by Pearson


Exam (100%, duration: 2 hours) in the summer exam period.

Key facts

Department: Finance

Total students 2018/19: 46

Average class size 2018/19: 12

Controlled access 2018/19: No

Value: Half Unit

Guidelines for interpreting course guide information

Personal development skills

  • Problem solving
  • Application of numeracy skills
  • Specialist skills