BEXP 14A01 - Europe and Finance

With 450 million citizens and a GDP of € 15 trillion, the European Union (EU 27) is the second largest economy and the most integrated trading zone in the world. But does this hold true financially? How does Europe compare with other economic and financial giants such as the US and China? Does it have the appropriate framework for its economy to develop? The course will look at the organisation and functioning of capital markets (equities, bonds, forex…) and financial institutions (IMF, World Bank, EIB…); the role of banks, central banks (Fed, ECB…), institutional investors (pension funds, asset managers…), stock exchanges, regulators and how the EU compares with the US and China. It will examine the EU unprecedented experiment: the Euro. Twenty years after, was it a historical breakthrough or a “fatal decision” (Stiglitz) especially in regards of the financial crises that have recently hit Europe (subprime crisis, euro sovereign debt crisis, Brexit, and the COVID-19 pandemic)? The course will discuss these crises, the solutions taken to tackle them, and the overall relationship between finance and society. Lastly, it will take a look at how the EU is trying to lead the world by example in the transition to a sustainable economy notably via the EU Green Deal.
Bruno ROSSIGNOL
Séminaire
English
Discussion of articles, news briefings related to the topics. Organised debates.
No specific knowledge necessary. Interest in contemporary European and financial issues.
Spring 2024-2025
Participation and attendance. Presentations.
International Financial Centres, Youssef Cassis and Dariusz Wojcik, Oxford University Press, 2019
Crashed: how a decade of financial crises changed the world, Adam Tooze, Viking, 2018
Safeguarding the Euro in times of crisis: the inside story of the ESM, Rebecca Christie and ESM, 2019
The Last Bluff: How Greece came face-to-face with financial catastrophe & the secret plan for its euro exit, Viktoria Dendrinou, Eleni Varvitsioti, Papadopouilos Publishing, 2019
The Euro and the Battle of Ideas, Markus Brunnermeier, Harold James, Jean-Pierre Landau, Princeton University Press, 2016
The Euro: How a Common Currency Threatens the Future of Europe, Joseph E. Stiglitz, W W Norton & Company, 2016
Institutions and the crisis, European University Institute, (J. Pisani-Ferry, A. Erce, T. Saarenheimo, J. Zettelmeyer and al.) 2018
Infectious Greed: how deceit and risk corrupted the financial markets, Frank Partnoy, Profile Books, 2005
Movies : Adults in the Room (Costa-Gavras, 2019), Margin Call, JC Chandor (2011), The Big Short, Adam McKay (2015), Il Capitale Umano, Paolo Virzi (2013).