Sunday, February 12, 2012

You Too Can Help Me Teach My Class

Wanted : Imaginary Currencies

I'm teaching two courses this year, both of them new to me and one brand new at never been taught at our university before.  The brand new and never been used course is on the pricing of derivatives using the Black-Scholes formula (and yes I've read the Black Swan) and other methods.

Part of the course includes currency trading options, and I'd like to have some imaginary currencies to use in assignment and exam questions.  So I pitch the request out to the representatives of the imaginations of the blogi-sphere.

What is your imaginations currency and how does is trade vis-a-vis the US dollar of sterling?

I do have a reputation for silliness to up hold here - typically my word problems use names from novels or history books I've been reading.  My daughter come home with stories of the prof who bases his assignment on Harry Potter novels that circulate her high school.  One year I was lazy and went for normal names and a student complained that they were too boring.  Naturally the next test featured Nebuchadnezzar, Zaphod Beeblebrox and transactions in the currency units of carbon credits and goats.


  1. What are you using for a text? I have to support a derivatives pricing system and while the internals are just a library to me, it would be nice to know more about the sorts of things that go on inside.

  2. Lentulus

    Derivative Markets (Second Edition), 2006, by McDonald, Robert L


  3. The currency in Forbodia is (as I'm sure you know) the Golden Splonder*. I understand that neighbouring Vulgaria may still be using the pre-decimal Spondoolik. More as I think of them...

    * with apologies to the writers of the Goon Show, c.1954

  4. In an effort to join the EU Upper Bendovia has finally got a grip on capitalism with the introduction of the Brass Razoo ( as in " I haven't got a ..."). Originally worth half a goat, the Brass Razoo now trades at a quarter goat and two chickens, or 200 to the €.