International Financial Markets

Overview: The Department

International Economics

Research Area

International Financial Markets

Research profile

The subdivision focuses on the empirical analysis of international financial markets. At the forefront is the examination of the dynamics within the increasingly globalized financial system, especially those of foreign exchange markets and exchange rates, and their interdependence with basic (macro) economic conditions. Additionally, economically relevant developments in other segments of international financial markets will also be analyzed. Likewise, the subdivision will examine the factors that determine the formation of expectations in financial markets and their connection to behavioral economic aspects and their significance, such as in the case of exchange rate forecasts. The aim of the research in this area is to develop a better understanding of the mechanics and determinants of financial markets, especially with regard to their relationships to real economic developments, and to derive policy recommendations for the modification of institutions and structures.