The objectives of the course are threefold. First, students learn the different notions of the concept of “financial crisis”. In particular, they deal with the theoretical and operational criteria for banking, currency, stock market and debt crises. In a second step, the causes for financial turmoil are scrutinized. A particular attention will be paid to the non-fundamental cause of the crisis such as self-fulfilling prophesies, contagion and moral hazard. In a third step, the optimal reactions (macroeconomic policies, regulation, supervision practices,…) will be analysed. Students following this course get a global (macroeconomic and financial) perspective of financial crises.

1-PBL part
1- Financial crises definition and measurement.
2- Origins of the crises.
3- Treatments; International Financial structure
Textbook (Allen and Gale “Understanding financial crises”) and articles:
2-Analysis of the major financial crises