59691 - MACROECONOMICS

Conoscenze e abilità da conseguire

The aim of the course is to introduce students to the basic methods and topics of macroeconomic analysis and to ensure their understanding of macroeconomic equilibrium in closed and open economies. At the end of the course students are able to: (a) define the main macroeconomic variables; (b) understand the determinants of aggregate demand and aggregate supply, and of macroeconomic equilibrium in the short and in the long run; (c) understand the motivation of fiscal and monetary policy and the role of expectations in influencing their impact on the economic system.

Contenuti

PART 1: Macroeconomics in the long run and economic growth

Introduction

Introduction to Macroeconomics

Data and models

GDP

Classic theory: the economy in the long run

The long run

Income production, distribution and expenditure

Equilibrium in the goods market and in the financial market

The monetary system

Inflation

Costs of inflation

Open economy: trade balance and net capital outflows

Open economy: real and nominal exchange rate

Unemployment

Labor market reforms in Europe and in Italy

Growth theory: the economy in the very long run

Economic growth and the Solow model: capital accumulation, steady state, policy, golden rule, population dynamics, technological progress, empirics, growth enhancing policies

Endogenous growth

PART 2: Macroeconomics in the short run and economic policy

Business cycle theory: the economy in the short run

Introduction to short run fluctuations: AD-SRAS-LRAS IS-LM model

Economic policy, shocks, IS-LM and AD

Great depression, Japanese stagnation, Great recession, and European sovereign debt crisis

Fiscal and monetary policy in the EU since the Great recession

Mundell-Fleming model

International financial crises

Aggregate supply and Phillips curve

Adaptive and rational expectations

The debate on macroeconomic policy

Stabilization policy

Debt and deficit

Financial system: opportunities and dangers

 

The two parts will be assessed separately as partial exams. The full exam covers both parts.

Testi/Bibliografia

The main textbook for the course (necessary material) is

N. Gregory Mankiw, Macroeconomics - International Edition, 10th edition, Macmillan, 2019.

Recent editions (e.g. the 9th edition, 2016) of the same text are similar and should be fine.

Metodi didattici

Lectures and exercise classes.

Modalità di verifica e valutazione dell'apprendimento

Written Exam (Partial or Full). Exam questions will be a combination of multiple choice, short answer and exercises.

The grade is determined as the sum of the grades for the two partials, or as the grade of the total exam.

Short exercises will be assigned during the course; completing and returning these on time yield additional marks.

NOTE. Assessment methods may change, depending on how the health situation develops.

Strumenti a supporto della didattica

Lectures slides and material made available in advance on the e-learning web platform.

Orario di ricevimento

Consulta il sito web di Niko Samuli Jaakkola