Recognizing that students need more than an abstract description of financial markets and institutions as they train to become managers successfully working in, or interacting with, the financial service industry, Mishkin and Eakins examine models and concepts through the eyes of a practicing financial manager to see not onlywhy they matter, but also how they are used in the real world. In this way, students learn to place themselves in the role of decision-maker and envision how they might respond to problems and situations that will arise in their future careers.This Fifth Edition boasts expanded coverage of valuation concepts, more quantitative material, and a streamlined, finance-focused presentation. A careful examination of conflicts of interest, a concentration on the impact of new technologies, new data, and refreshing examples all serve to enhance and illuminate important concepts. * Employs a unifying analytic framework that uses a few basic principles to organize students thinking, including: asymmetric information (agency problems), transaction costs, efficient markets and measurement, and management of risk.* Employing a practitioner's approach to the study of markets and institutions, Mishkin and Eakins present material from a managerial perspective with a strong emphasis on the application of concepts. Wall Street Journal case studies, and The Practicing Manager and Inside the Fed features provide valuable real-world context.* New Conflicts of Interest boxes deepen students' understanding of the importance of conflicts of interest and illustrate how pervasive they are.* E-Finance boxes describe how changes in technology have affected financial markets and institutions. The placement of these boxes throughout the text helps illustrate the impact technology has had in a broad range of areas in finance.* The Companion Web Site offers multiple-choice quizzes for every chapter, a multitude of readings on current topics, mini-cases, and more. New Web resources include a Web chapter, Finance Companies and Financial Conglomerates, new Web Appendices, and animated graphs from the text.* Internet references in the margins and end-of-chapter web exercises allow students to collect information from online sources to enhance their learning experience.* Enhanced PowerPoint Slides with web links integrate the Internet into classroom lectures.