ECO421H1F Special Topics in Economics: Capital Markets, (in)efficiencies, and (ir)rationality

This course in financial microeconomics assesses capital-market efficiency and equilibrium predictions in light of uncertainty, market design, agent behaviour and market microstructure. Starting with fundamental questions such as why markets and firms are organized as they are, we identify consistent conflicts of interest in capital markets amongst individuals, groups, organizations and exchanges. Ultimately, we investigate questions such as when and if asset prices accurately reflect information and whether seemingly irrational participant behaviour can be rationalized. To address these questions, we use a combination of theoretical and empirical approaches taking the perspectives of both the academic and the practitioner. A previous course addressing asset valuation is helpful but not required.

Section L5101 , Summer F 2024–25

Instructor: Harry Burke
Day/time: MW5-8

Delivery Method & Instructions : In Person

Location: WW 126
TA: Olivia Yu