08795 - Macroeconomics

Learning outcomes

This course introduces themes and methods about macroeconomics, together with the basic tools needed for a comprehensive analysis of the economic system functioning in both closed and open economies.  At the end of the course each student will be able to know and interpret the basic macroeconomic variables; the interaction between goods and asset markets in both closed and open economies, together with the labor market functioning.  Moreover, the student will know the determinants of aggregate demand and supply in both short and long run.  The course provides the main tools to interpret and address policy (fiscal and monetary) together with the role played by expectations in income determination.

Course contents

1.        Definitions (GDP, inflation, unemployment).  Price indexes.

2.        The economy in the long-run: saving-investment equilibrium in both closed and open economies.

3.        Money demand.  Money multiplier. The Baumol-Tobin model of money demand.

4.        Unemployment

5.        Growth Theory: the Solow's model and endogenous growth models.  Absolute and relative convergence.

6.        Aggregate demand in the short run: the Keynesian cross.

7.        The IS-LM model: comparative statics with and without wealth effects.

8.        The Mundell and Fleming model

9.        Aggregate supply and the role of rational expectations.  The Phillips Curve.

10.    Stabilization policies with aggregate demand and supply.

11.    Public debt and recovery plan.

Readings/Bibliography

Mankiw e Taylor: Macroeconomia, Zanichelli

Boitani: Macroeconomia, Il Mulino.

Teaching methods

Lectures and training sessions.

Assessment methods

Oral exam (with highest possible scores of 4 marks starting from the grade of the written exam).

Teaching tools

Lecture notes, power point slides.

Office hours

See the website of Massimiliano Marzo