Interest Rates: An Introduction
Publisher: Bookboon.com
Published: 2015
ISBN-13: 9788740308617
Table of contents: title: Content; title: 1. What are interest rates?; title: 1.1. Learning outcomes; title: 1.2. Introduction; title: 1.3. Financial system: a synopsis; title: 1.4. Debt and deposits; title: 1.5. The bank margin; title: 1.6. Rate of interest; title: 1.7. Time value of money; title: 1.8. TMV and compound interest; title: 1.9. Effective rate; title: 1.10. Coupon rate; title: 1.11. Price of a security: the principle; title: 1.12. Price of a security: multiple future cash flows and yield to maturity; title: 1.13. Other issues and terminology related to interest rates; title: 1.14. References; title: 2. Relationship of interest rates; title: 2.1. Learning outcomes; title: 2.2. Introduction; title: 2.3. Relationship between the policy interest rate and the banks’ prime lending rate; title: 2.4. The many, but related, interest rates on debt and deposits; title: 2.5. Interbank market interest rates; title: 2.6. Relationship of money market interest rates; title: 2.7. References; title: 3. Composition of interest rates; title: 3.1. Learning outcomes; title: 3.2. Introduction; title: 3.3. The yield curve; title: 3.4. Literature on the composition of interest rates; title: 3.5. Composition of interest rates: an alternative analysis; title: 3.6. Literature on the risk-free rate; title: 3.7. The risk-free rate: an alternative view; title: 3.8. Relationship of interest rates revisited; title: 3.9. References; title: 4. Interest rate discovery; title: 4.1. Learning outcomes; title: 4.2. Introduction; title: 4.3. Interest rate discovery and security valuation; title: 4.4. Organisational structure of financial markets; title: 4.5. Role of secondary markets; title: 4.6. Interest rate discovery in the debt and deposit markets; title: 4.7. Factors which impact on price discovery; title: 4.8. References; title: 5. Bank liquidity & interest rate discovery; title: 5.1. Learning outcomes; title: 5.2. Introduction; title: 5.3. Monetary policy models; title: 5.4. A bank liquidity analysis; title: 5.5. Quantitative easing; title: 5.6. Quantitative easing and interest rates; title: 5.7. Appendix 1: quantitative easing literature review; title: 5.8. References; title: 6. Role of interest rates; title: 6.1. Learning outcomes; title: 6.2. Introduction; title: 6.3. Primary tool of monetary policy; title: 6.4. Part of bridge between present and future consumption; title: 6.5. Advancing consumption / investment with debt; title: 6.6. Inverse relationship with asset prices and the wealth effect; title: 6.7. Interest rates and derivative instrument pricing; title: 6.8. Interest rates and the foreign sector; title: 6.9. References; title: 7. An optimal rate of interest: the natural rate; title: 7.1. Learning outcomes; title: 7.2. Introduction; title: 7.3. The Wicksell hypothesis; title: 7.4. Literature review; title: 7.5. An alternative interpretation; title: 7.6. Reconciliation of PR and PIR / IBMR; title: 7.7. Taylor rule; title: 7.8. A proposed Taylor-type rule; title: 7.9. References