The Trilemma, International Currencies, Capital Controls and Financial Development

This site provides resources in this course in the Central German Doctoral Program Economics 17-22 December 2015

Source: IMF, COFER June 2015

Professor Menzie Chinn
Home Page

Course Syllabus

Syllabus in PDF file.
A Note on the Exam: The final exam will be one hour long, and entail answering in essay form (w/equations, graphs if appropriate) several major questions regarding key topics in the course. The exam is close book/closed note. Please bring writing paper to provide your answers on.
The course will cover the key concept in international finance, namely the choices imposed by the international trilemma (also known as the impossible trinity), the proposition that a country cannot simultaneously pursue full monetary autonomy, exchange rate stability, and financial integration/absence of capital controls. Considerable attention will be devoted to issues of measurement and estimation of the effects of policy combinations. Finally, the linkage of financial integration to financial development and to the internationalization of currencies will be examined.

Course Materials and Sources of Economic Information

Downloadable Course Materials

Required Readings

Additional Optional Readings/Links

News Sources



Economics and Economic Policy Links

International Organizations

Current and Historical Data

The Trilemma, International Currencies, Capital Controls and Financial Development/ Universität Leipzig / / 21 December 2015