ECON 530 | Course Introduction and Application Information

Course Name
Energy Economics and Finance
Code
Semester
Theory
(hour/week)
Application/Lab
(hour/week)
Local Credits
ECTS
ECON 530
Fall/Spring
3
0
3
5

Prerequisites
None
Course Language
English
Course Type
Elective
Course Level
Second Cycle
Course Coordinator -
Course Lecturer(s) -
Assistant(s) -
Course Objectives The aim of this course is to cover basics in financing energy projects as well as teach the students the different instruments that are available for hedging risks in the energy sector.
Course Description The students who succeeded in this course;
  • will be able to define basic economic concepts that underly energy production and end use.
  • will be able to explain how local, regional, and global institutions affect energy markets and prices.
  • will be able to discuss historical and contemporary public policy issues related to energy in Turkey, the region and the world.
  • will be able to analyze specific energy industries and policy questions.
  • will be able to define energy derivatives.
Course Content This course examines economic theory, empirical perspectives, and political economy of energy supply and demand. It discusses aspects of local, national, and global markets for oil, natural gas, coal, electricity, nuclear power, and renewable energy; and examines public policies affecting energy markets including taxation, price regulation and deregulation, energy efficiency, and control of emissions. The course will also cover energy derivatives and the link between energy and financial markets.

 



Course Category

Core Courses
Major Area Courses
Supportive Courses
Media and Management Skills Courses
Transferable Skill Courses

 

WEEKLY SUBJECTS AND RELATED PREPARATION STUDIES

Week Subjects Related Preparation
1 Introduction
2 Financial forwards Related chapter from Options, Futures and Other Derivatives
3 Financial futures Related chapter from Options, Futures and Other Derivatives
4 Financial futures Related chapter from Options, Futures and Other Derivatives
5 Commodity forwards/futures Related chapter from Options, Futures and Other Derivatives
6 Hedging with forwards/futures Related chapter from Options, Futures and Other Derivatives
7 Hedging with forwards/futures Related chapter from Options, Futures and Other Derivatives
8 Swaps Related chapter from Options, Futures and Other Derivatives
9 Swaps Related chapter from Options, Futures and Other Derivatives
10 Midterm
11 Financing Energy Development Related chapter from Options, Futures and Other Derivatives
12 American Options Related chapter from Options, Futures and Other Derivatives
13 European Options Related chapter from Options, Futures and Other Derivatives
14 Greeks Related chapter from Options, Futures and Other Derivatives
15 Review of the Semester  
16 Review of the Semester  

 

Course Notes/Textbooks Options, Futures and Other Derivatives (6th edition), by John C Hull.
Suggested Readings/Materials

 

EVALUATION SYSTEM

Semester Activities Number Weigthing
Participation
16
10
Laboratory / Application
Field Work
Quizzes / Studio Critiques
Homework / Assignments
2
20
Presentation / Jury
Project
Seminar / Workshop
Oral Exams
Midterm
1
30
Final Exam
1
40
Total

Weighting of Semester Activities on the Final Grade
60
Weighting of End-of-Semester Activities on the Final Grade
40
Total

ECTS / WORKLOAD TABLE

Semester Activities Number Duration (Hours) Workload
Theoretical Course Hours
(Including exam week: 16 x total hours)
16
3
48
Laboratory / Application Hours
(Including exam week: 16 x total hours)
16
Study Hours Out of Class
14
3
Field Work
Quizzes / Studio Critiques
Homework / Assignments
2
25
Presentation / Jury
Project
Seminar / Workshop
Oral Exam
Midterms
1
35
Final Exam
1
50
    Total
225

 

COURSE LEARNING OUTCOMES AND PROGRAM QUALIFICATIONS RELATIONSHIP

#
Program Competencies/Outcomes
* Contribution Level
1
2
3
4
5
1

To improve and deepen actual and advanced level knowledge in economics in the level of expertise by inventive thoughts and/or research and to get inventive contributions to science.

X
2

To comprehend the interaction between economics and related fields; to achieve inventive results by using knowledge requiring expertise in analysis, synthesis and evaluation of new and complex ideas.

3

To be able to apply the advanced level knowledge acquired in economics and finance.

4

Creating new knowledge by combining the knowledge of financial economics with the knowledge coming from other disciplines and also be able to solve problems which requires expert knowledge by applying scientific methods.

5

To be able to critically evaluate the knowledge in financial economics, to lead learning and carry out advanced level research independently.

6

Being able to use a foreign language for both following scientific progress and for written and oral communication.

X
7

To be able to develop new strategic approaches for unexpected, complicated situations in financial economics and take responsibility in solving it.

8

To be able to use computer programs needed in the field financial economics as well as information and communication technologies in advanced levels.

9

To possess the communication network to put the economic and social needs of the region of residence on the agenda.

10

To have adequate social responsibility and conciousness about the needs of society and to have the experience and authority  to organize and support the operations that can affect and drive  the social dynamics when necessary.

11

To be able to think analytically to identify problems in financial economics and to be able to make policy recommendations in economics and finance based on scientific analysis of issues and problems.

X
12

To protect the social, scientific and ethical values at the data collection, interpretation and dissemination stages and to be able to introduce and supervise these values.

13

To be able to use the skills of modeling, empirical analysis and formulating policy options that are developed for financial economics, in interdisciplinary contexts.

*1 Lowest, 2 Low, 3 Average, 4 High, 5 Highest