What is Macroeconomics and Financial Markets?
Against the backdrop of Brexit, the pandemic, rising inflation and a shifting geopolitical landscape, it’s acutely important for business leaders to gain an understanding of the influences and outcomes.
To keep leaders informed, the Macroeconomics and Financial Markets component of the Copenhagen Business School’s EMBA programme takes place over one semester and combines lectures from Professor Jesper Rangvid, Professor of Finance, with a week-long trip to Frankfurt and London. This year, the participants visited financial organisations including Commerzbank and the European Central Bank in Frankfurt
Macroeconomics is concerned with how the geopolitical and economic climate fits together globally, while the financial markets element refers to the trade of capital and investments. The hot topic currently is inflation, and organisations are being forced to consider whether they pass rising costs of purchasing and manufacturing products on to their customers, or squeeze their own margins. And given it’s possible that a recession may be on the way, understanding what is driving this inflation and how central banks are reacting to it is essential to those who are mitigating these rising costs within their own businesses.
Professor Rangvid offers some background, “How firms react to inflation is really the topic of the class, and macroeconomics at the moment is extremely important and extremely topical – everybody is concerned about it, and it impacts all of us.” He continues, “That said, macroeconomics is always important, because there’s always something going on in the economy that impacts firms.”
The course has been created for EMBA students, who are typically employed in the private sector, and provides insight into how their firms will be impacted by the broader economic situation.