昆士兰大学 金融市场经济学教学课件Lecture 2 Determination of Interest Rates.pdfVIP

Economics of Financial Markets – Lecture 2 Nhan Phan School of Economics Preview • Before we can go on with the study of money, banking, and financial markets, we must understand exactly what the phrase “interest rates” means. • From the previous lecture: An interest rate is the cost of borrowing or the price paid for the rental of funds. • Today, we see that a concept known as the yield to maturity is the most accurate measure of interest rate. Learning Objectives • Calculate the present value of future ca