Version 1: Major topics include: economic constraints and production possibilities; market characteristics, structures and institutions; supply, demand and equilibrium; maximizing profit; understanding interest rates; theory of portfolio choice; theory of efficient capital markets; financial innovation; the foreign exchange market; money, capital and mortgage markets; theory of financial structure; commercial banks; savings and loans and credit unions; banking regulation; insurance companies and pension funds; finance companies and financial conglomerates; securities markets and firms; risk management in financial institutions; financial derivatives; introduction to the money supply process; central banks and the conduct of monetary policy. Version 2: This course provides a foundation in economic principles and an understanding of the financial services environment. Topics include: overview of the financial system; money as a financial instrument; financial markets, instruments and market makers; the Federal Reserve System; interest rates and bond prices; the structure of interest rates; market efficiency; the money market; the corporate and government bond markets; the stock market; the mortgage market; financial intermediaries and risk; commercial banking structure, regulation and performance; insurance companies; pension plans and finance companies; securities firms, mutual funds, and financial conglomerates; asset-backed securities, interest-rate agreements, and currency swaps; monetary policy and the financial system.