Practice Exams
Week 1: Introduction to the Financial System
Reading
- Introduction: Chapter 1, pp. 2-5
- Financial institutions: Chapter 1, pp. 4-15
- Financial crises: Chapter 1, pp. 15-18
- Functions of money: Chapter 2, pp. 28-32
- Payments system: Chapter 2, pp. 32-39
- Money supply: Chapter 2, pp. 40-48
Resources
Exercises
- Canvas Multiple Choice Quiz
due Wednesday 11:59 PM - Intro to Financial System
(Slides Version)
Due Tuesday, Sept 13, 11:59 PM
Week 2: Federal Reserve System
Reading
- Structure of the Federal Reserve System: Chapter 13, pp. 434-444
- Central bank independence: Chapter 13, pp. 454-460
Resources
Exercises
- Canvas Multiple Choice Quiz
due Wednesday 11:59 PM - Federal Reserve System
(Slides Version)
Due Friday 11:59 PM
Weeks 3-4: Money Supply Process
Reading
- Fed's balance sheets and open market operations: Chapter 14, pp. 469-477
- Money multiplier: Chapter 14, pp. 481-488; 501-502
- 2007-2009 Financial Crisis: Chapter 14, pp. 488-490
Resources
Exercises
- Canvas Multiple Choice Quiz
due Wednesday 11:59 PM - Homework: Money supply process
(Slides Version)
Due Friday 11:59 PM
Week 6: Monetary Policy Tools
Reading
- Goals of monetary policy: Chapter 15, pp. 503-510
- Monetary policy tools: Chapter 15, pp. 511-520
- Modern policy tools: Chapter 15, pp. 521-531
Resources
Exercises
- Canvas Multiple Choice Quiz
due Wednesday 11:59 PM - Homework: Policy Tools
(Slides Version)
Due Friday 11:59 PM
Week 7: Interest Rates and Rates of Return
Reading
- Present values and future values: Chapter 3, pp. 55-63
- Debt instruments: Chapter 3, pp. 63-67
- Yield to maturity: Chapter 3, pp. 68-78
- Rates of return: Chapter 3, pp. 79-83
Resources
Exercises
- Canvas Multiple Choice Quiz
due Wednesday 11:59 PM - Homework: Rates of Return
(Slides Version)
Due Friday 11:59 PM
Week 8: Markets for Bonds and Money
Reading
- Bond markets: Chapter 4, pp. 102-115
- Markets for money: Chapter 4, pp. 120-123
Resources
Exercises
- Canvas Multiple Choice Quiz
due Wednesday 11:59 PM - Homework: Asset Supply and Demand
(Slides Version)
Due Friday 11:59 PM
Week 10: Risk and Term Structure of Interest Rates
Reading
- Risk structure of interest rates: Chapter 5, pp. 140-145
- Liquidity and taxes: Chapter 5, pp. 148-151
- Term structure: Chapter 5, pp. 153-165
Resources
Exercises
- Canvas Multiple Choice Quiz
due Wednesday 11:59 PM - Homework: Risk and Term Structure
(Slides Version)
Due Friday 11:59 PM
Week 11: Market Failures
Reading
Resources
Exercises
- Canvas Multiple Choice Quiz
due Wednesday 11:59 PM - Homework: Risk and Term Structure
(Slides Version)
Due Friday 11:59 PM
Week 13: Banking and Financial Crises
Reading
- Bank liabilities: Chapter 10, pp. 311-317
- Bank assets: Chapter 10, pp. 317-321
- Managing bank risks: Chapter 10, pp. 325-333
- Origins of financial crises: Chapter 12, pp. 393-395
- Financial crisis of 2007-2009: Chapter 12, pp. 406-411
- Financial crisis and financial regulation: Chapter 12, pp. 411-425
Resources
Exercises
- Canvas Multiple Choice Quiz
due Wednesday 11:59 PM - Homework: Financial Crisis
(Slides Version)
Due Friday 11:59 PM
Instructor
James Murray, Ph.D.
  2106 Wittich Hall  608-785-6828
    608-406-4068
  jmurray@uwlax.edu
Student Hours Appointments
Student hours appointments are available with as little as a 30-minute notice, and are generally available at the following times:
- 8:30 AM - 10:30 AM Mon/Wed/Fri
- 1:00 PM - 2:30 PM Mon/Wed/Fri
- 2:30 PM - 4:30 PM Tue/Thurs
Student Hours Appointments
Student Hours Satisfaction Guaranteed!
I guarantee that coming to student hours to ask questions will increase your grade in the class. If you come and still get questions wrong on the exam about the topic we discussed, I will refund those points! This guarantee is subject to the following conditions:
- Refund points are good for up to two topics on each exam, and up to a total of 10 percentage points per exam.
- You and I must agree in writing using the following online form: https://murraylax.org/studentguarantee/
It takes just a minute to fill out the form. On this form, we document very specifically what we discussed and we both agree that I have explained the topic sufficiently and that you have acquired a good understanding from our discussion. - You must fill out the above form on the same day of your appointment.
- You must have attended class when the topic was initially taught or had an excused absence and completed any online work that served as a substitute, including watching any instructional videos.
- Only three guarantee forms may be filed before each exam.
- Only one guarantee form may be filed on a single day. Therefore, filing two or three guarantee forms before an exam will require at least two or three separate office hours visits, respectively.
- After the exam, if you get questions wrong that were guaranteed, it is your responsibility to recognize this and present your copy of the guarantee form to notify me you should get the points refunded.