This book is about what aspects of economics it is necessary to know about to understand why financial markets are so volatile. It is designed to demonstrate that behind all the jargon associated with the financial markets there are some basic economic ideas operating. What these basic ideas are is not evident from either existing textbooks nor form reading the financial press.
Contents
• Introduction
• Monetary and fiscal policy
• The supply of securities
• The demand for securities
• Securities markets and their efficiency
• The determination of equity prices
• Security analysis
• Regulation of financial markets
• Futures contracts and futures markets
• Bibliography
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