Postgraduate taught 

Economic Development MSc

Money, Finance And Growth ECON5025

  • Academic Session: 2020-21
  • School: Adam Smith Business School
  • Credits: 20
  • Level: Level 5 (SCQF level 11)
  • Typically Offered: Semester 2
  • Available to Visiting Students: No
  • Available to Erasmus Students: No

Short Description

This course reviews a variety of analytical models that analyze the role of money and financial intermediation in economic growth. It investigates the link between saving (and investment) and economic growth, and between development of the financial system and growth. Particular attention is paid to the possible direction of causation between finance and growth. Finally, the course reviews the empirical literature and the evidence that it provides about causal links.


A 2-hour lecture each week for 10 weeks

Requirements of Entry

Please refer to the current postgraduate prospectus at: 


■ Coursework: briefing note (25% of final grade for course)

■ Examination: two-hour end-of-course examination (75% of final grade for course).

Main Assessment In: April/May

Course Aims

The course analyses the role of money and financial intermediation for economic growth and investigates the link between financial development and growth.

Intended Learning Outcomes of Course

■ To appreciate the different implications for policy from seeing growth as being constrained by savings or investment.

■ To examine critically the rationale for financial repression and for financial liberalisation.

■ To understand the implications of different institutional settings for policies towards the financial sector.

■ To understand, discuss and evaluate the functions performed by financial systems.

■ To appreciate the implications of moral hazard and adverse selection problems for policies towards the financial sector.

■ To examine critically the extent to which the empirical evidence provides support for competing theories.

Minimum Requirement for Award of Credits

Students must submit at least 75% by weight of the components (including examinations) of the course's summative assessment.