Abstract
R is a popular and free programming language and software environment for statistical computing and graphics. We use a class project in an undergraduate financial derivatives course to introduce students to R programming. Specifically, through pricing options using the Black Scholes model and the multi-period binomial option pricing model, students learn to import and manipulate data in R, use R to do calculations, construct user-defined functions, and apply third-party packages in R. The inclusion of relevant technology through this project also serves to maintain our curriculum currency, and we obtain overwhelmingly positive student responses to the project.
Recommended Citation
(2026)
"Using R Programming in a Financial Derivatives Course,"
Journal of Economics and Finance Education: Vol. 22:
Iss.
1, Article 4.
Available at:
https://scholarship.rollins.edu/jefe/vol22/iss1/4
