Financial markets
Econ 252 Spring 2011
Final Exam
Econ 252 - Financial Markets
Professor Robert Shiller
Spring 2011
Professor Robert Shiller
Final Exam
Instructions:
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•
•
•
•
•
•
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The exam consists of a total of twelve pages including this coversheet.
There are two parts to this exam.
In Part I, answer any sixteen of the twenty questions, five minutes each.
The total for Part I is 80 minutes.
In Part II, answer all seven questions.
The total for Part II is 70 minutes.
For the exam, there are 150 question minutes total, each question minute corresponding to 1 point.
You have 180 minutes to do the exam.
The exam is CLOSED BOOK.
You are allowed to use a non-programmable calculator.
1
Econ 252 Spring 2011
Final Exam
Professor Robert Shiller
Part I.
Answer sixteen of the twenty questions (5 points each - 80 points total).
1. If a customer places a buy order for one millisecond only on an electronic limit order book, what happens next in the case that the order is above the lowest offer?
Alternatively, what happens if the order is below the highest bid?
2. How do futures exchanges prevent the problem of counterparty risk?
3. What was Laura Cha's point about jobs in the public versus the private sector?
4. What are two important milestones in the history of pensions, i.e. events, which made these plans better serve the interest of pensioners?
5. What are the principal agencies of the 2010 European Supervisory Framework, created in 2010 in response to the world financial crisis?
6. How does the physical delivery provision in futures markets enforce convergence of spot and futures prices on the expiration date of the contract?
7. What is the difference between term insurance and cash value life insurance?
2
Econ 252 Spring 2011
Final Exam
Professor Robert Shiller
PART I CONTINUES ON THE NEXT PAGE.
CONTINUATION OF PART I.
8. A Canadian car dealer wishes to import cars from Germany.
Final Exam
Econ 252 - Financial Markets
Professor Robert Shiller
Spring 2011
Professor Robert Shiller
Final Exam
Instructions:
•
•
•
•
•
•
•
•
The exam consists of a total of twelve pages including this coversheet.
There are two parts to this exam.
In Part I, answer any sixteen of the twenty questions, five minutes each.
The total for Part I is 80 minutes.
In Part II, answer all seven questions.
The total for Part II is 70 minutes.
For the exam, there are 150 question minutes total, each question minute corresponding to 1 point.
You have 180 minutes to do the exam.
The exam is CLOSED BOOK.
You are allowed to use a non-programmable calculator.
1
Econ 252 Spring 2011
Final Exam
Professor Robert Shiller
Part I.
Answer sixteen of the twenty questions (5 points each - 80 points total).
1. If a customer places a buy order for one millisecond only on an electronic limit order book, what happens next in the case that the order is above the lowest offer?
Alternatively, what happens if the order is below the highest bid?
2. How do futures exchanges prevent the problem of counterparty risk?
3. What was Laura Cha's point about jobs in the public versus the private sector?
4. What are two important milestones in the history of pensions, i.e. events, which made these plans better serve the interest of pensioners?
5. What are the principal agencies of the 2010 European Supervisory Framework, created in 2010 in response to the world financial crisis?
6. How does the physical delivery provision in futures markets enforce convergence of spot and futures prices on the expiration date of the contract?
7. What is the difference between term insurance and cash value life insurance?
2
Econ 252 Spring 2011
Final Exam
Professor Robert Shiller
PART I CONTINUES ON THE NEXT PAGE.
CONTINUATION OF PART I.
8. A Canadian car dealer wishes to import cars from Germany.