SOAS University of London

School of Finance and Management

Finance in Japan and Korea

Module Code:
151030021
Credits:
15
Year of study:
Year 3 of 3 or Year 4 of 4
Taught in:
Term 2

This module is specially designed to provide students with the knowledge to understand the financial systems in Japan and Korea, including banking systems, enterprise financing, stock markets, bond markets, exchange rates and monetary policy. It provides students with a fundamental understanding of how financial institutions work in these countries, as well as the challenges that integration into the global financial system bring. It outlines the key features of both countries banking systems, how they are regulated and the features that distinguish them from other banking systems. Given the specific challenges faced by both countries significant emphasis is place on the causes of the Asian Financial Crisis and Japan’s “Lost Decade” of growth. Specific emphasis is also place on the unique features of both countries in terms of capital market financing and the role of stock markets. The module concludes by examining the pervasiveness of local systems and practices versus the incentives and resistance to adopting international financial practices and techniques.

Prerequisites

A prerequisite for this module is Financial Strategy 151030012 in Term 1

Objectives and learning outcomes of the module

At the end of the course students should be able to:

  • Discuss the key features of financial market development in Japan & Korea
  • Explain the key characteristics of Japanese and Korean banking systems, the features that distinguish them from other international banking systems and assess the contribution it makes to the development of their economies
  • Understand the financial reasons for financial crisis in the economies of the region and the major reforms to corporate governance and financial regulation that have since taken place
  • Outline the key features of capital market development in Japan and Korea and discuss the different challenges faced by both countries in terms of enterprise financing, developing liquid stock markets and bond markets.
  • Critically evaluate the relationship between domestic and international financial markets and assess the efforts of the both countries to regulate capital flow and mitigate the effects of financial contagion
  • Discuss the role of monetary policy in both countries and assess it impact on trade, investment and growth.
  • Evaluate the prospects of convergence with international practice and assess its implications for Japan & Korea

Method of assessment

This course is assessed by 30% written coursework and 70% by one two hour examination

Suggested reading

TBC

Disclaimer

Important notice regarding changes to programmes and modules