MACROECONOMICS

This course looks at three main issues: open economy macroeconomics (as a continuation of the closed economy outlook taught in Introductory Macroeconomics), growth theory (main approaches, their conclusions, and the check of evidence), and third, the supply of the economy (aggregate supply curve and Phillips curves, issues on stabilization policy and trade offs). Course ObjectivesUpon completing this course, students are expected to:

• Demonstrate understanding of national income accounting and major economic magnitudes.
• Analyze factors that affect the longer-term performance of the economy.
• Develop a theoretical model of the macro economy.
• Identify forces that determine the growth rate of an economy.
• Examine policies governments may use to influence the rate of growth.
• Identify the causes and consequences of business cycles and analyze the response of policymakers to cyclical fluctuations.
• Develop a general framework for a macroeconomic analysis and analyze how macroeconomic policy works and how it can best be used.
• Examine how the nation’s money supply is determined and explore how the central bank should conduct monetary policy.

Analyze the macroeconomic effects of fiscal policy on economic activity, the burden of government debt and the link between budget deficits and inflation