This course offers a broad introduction to some key issues in current economic and financial debates, namely (a) macroeconomic policy in an era of low interest rates, high debt ratios and low productivity growth, (b) monetary policy and why interest rates are low, and (c) fundamental changes in financing opportunities for firms.

Most modern economies suffer from high debt ratios (public and private) and productivity slowdown. In addition, bank lending to private firms has fallen significantly, in particular since the financial crisis. Against that, the aim of this course is to enable the participants to better understand, first, the background to these problems; second, how they may be mitigated through economic policy; third, why interest rates are as low as they are; fourth, why banks behave as they do towards private firms.

Throughout the course, modern analytical tools will be used to address these issues. Intuition and real-world applications are prioritized over formal models and technical details. The reading material is based on textbook chapters, articles from international journals and reports from respected policy institutions and think tanks. All sessions will comprise elements of both lectures and discussion, in plenum as well as in groups. 

The aim of the lectures is to provide the participants with an overview of the subjects, by highlighting key issues. In order to benefit fully from this course, preparation is vital. Since it is impossible to cover all topics in the lectures, a good amount of follow-up homework is also expected. Finally, to add further perspectives, participants are recommended to read supplementary material from newspapers, magazines etc.