| Course Type | Elective Course |
|---|
| Course Level | Master's Degree Without Thesis |
|---|
| Year of Study | - |
|---|
| Semester | - |
|---|
| ECTS | 10 |
|---|
| Name of Lecturer(s) |
|
| Learning Outcomes |
At the end of this course, the students;
- are provided with a comprehensive and advanced understanding of topics on risk, risk measurement, risk theory, risk aversion and also assets issued for managing risk.
|
| Mode of Delivery | Face to face |
|---|
| Prerequisites | No |
|---|
| Recommended Optional Programme Components | None |
|---|
| Course Description | Insurance Economics brings together the economic analysis of decision making under risk, risk management and demand for insurance by individuals and corporations, objectives pursued and management tools used by insurance companies, the regulation of insurance, and the division of labor between private and social insurance. |
|---|
| Course Contents |
| WEEK |
TOPICS |
|
1st Week |
Present Value |
|
2nd Week |
Risk and the Theory of Expected Utility |
|
3rd Week |
Risk and the Theory of Expected Utility |
|
4th Week |
Measuring Risk and Theory of Risk Aversion |
|
5th Week |
Measuring Risk and Theory of Risk Aversion |
|
6th Week |
The State-Contingency Approach |
|
7th Week |
The State-Contingency Approach |
|
8th Week |
Midterm |
|
9th Week |
Pooling and Diversification |
|
10th Week |
Equilibrium in Markets for Insurance |
|
11th Week |
Equilibrium in Markets for Insurance |
|
12th Week |
Equilibrium in Markets for Insurance |
|
13th Week |
The Role of Options in Trading Risk |
|
14th Week |
The Role of Options in Trading Risk |
|
| Recommended or Required Reading | Brealey, Meyers and Allen, Principles of Corporate Finance, 9th Edition, 2008, McGrawHill.
Bodie, Kane and Marcus, Investments, 8th Edition, 2009, McGraw-Hill.
Jean-Jacques Laffont, The Economics of Uncertainty and Information, 1993, The MIT Press, Cambridge, Massachusetts. |
|---|
| Planned Learning Activities and Teaching Methods |
|
|---|
| Assessment Methods and Criteria |
|
Quantity |
Percentage (%) |
| Mid-term |
1 |
40 |
| Quiz |
1 |
10 |
| Total(%) |
|
50 |
| Contribution of In-term Studies to Overall Grade(%) |
|
50 |
| Contribution of Final Examination to Overall Grade(%) |
|
50 |
| Total(%) |
|
100 |
|
| ECTS Allocated Based on Student Workload |
| Activities |
Quantity |
Duration (Hour) |
Total Workload (Hour) |
| Midterm exam |
1 |
2 |
2 |
| Preparation for Quiz |
1 |
55 |
55 |
| Individual or group work |
14 |
5 |
70 |
| Preparation for Final exam |
1 |
70 |
70 |
| Course hours |
14 |
3 |
42 |
| Preparation for Midterm exam |
1 |
60 |
60 |
| Laboratory (including preparation) |
|
|
|
| Final exam |
1 |
2 |
2 |
| Homework |
|
|
|
| Total Work Load | 301 |
| Total Work Load / 30 (h) | 10.03 |
| ECTS Credit of the Course | 10 |
|
| Language of Instruction | Turkish |
|---|
| Work Placement(s) | No |
|---|
