In future editions it'd be helpful to have a stronger discussion of imperfect markets. Hubbard's neo-classicism is what made G W Bush pick him to lead the Council of Economic Advisors. But to get a more full picture of finance (especially on the international scale) one should read this side by side with Stiglitz's "Globalization and its Discontents".
This is a great book for undergrads who are not economics majors - the market features are covered effectively, thoroughly, and without the jargon that characterizes most exchanges between seasoned economists.
This is a decent book for undergrad econ majors, although by the time most of us get around to Money & Banking or Financial Economics, we've had intermediate macro and micro and are juniors looking forward to internships. Still, the presentation is not overly complex, and the assumption that the student is a beginner does indeed help for those who missed a full grasp of some of the finer points of theory.
This is not a great book for grad students, although there really aren't any great books for grad students in financial econ. MBA students will focus more in detail on the derivative and futures markets, particularly in terms of pricing assets. MSF students have their modeling books. Econ students really have to turn to the journals to broaden their scope in terms of theory, and especially to find answers to the "What if's" of imperfect markets.
Written by a grad student in Economics at the University of Missouri - St. Louis