Macroeconomics 1
Main language of instruction: Spanish
Other languages of instruction: English
If the student is enrolled for the English track then classes for that subject will be taught in the same language.
Head instructor
Dr. Pedro GARCÍA - pgarcia@uic.es
Office hours
- Pedro García del Barrio (pgarcia@uic.es)
Office hours: Tuesdays, 12:00 to 13:30 (or at any time, having been contacted previously by e-mail).
- Josep Faja Pijuan (jfaja@uic.es)
Office hours: Wednesdays, 08:30 to 10:00 (or at any time, having been contacted previously by e-mail).
Individuals involved in business must become familiar with the macroeconomic environment in which they work. Although there are no infallible guidelines in decision-making, professionals aspire to have the best available information about macroeconomic indicators and the general economic situation.
There are not previous requirements.
The purpose of this module is to make students familiar with the manner in which economies as a whole operate. Using the specific tools of economic theory, the course covers some of the most important macroeconomic models. The different topics are approached in the way in which economists typically analyse economic facts and policies. The programme includes the main issues drawing the attention of today’s policy makers: unemployment, inflation, economic growth, etc.
By competences we mean the personal abilities that lead to excellent performance of the works and undertakings carried out in a specific organisation. The different competences manifest themselves in normal daily activities, allowing the tasks that have been entrusted to be carried out successfully. Given that we are not talking of theoretical knowledge but personal skills, competences are therefore something complementary to professional wisdom. Typically, competences demand from the individuals an active and consistent effort.
The skills pursued in this course include:
• Capacity to summarise and analyse information. In business, individuals must be able to analyse ideas, theories, models and problems in order to reveal the main findings and arguments behind the available information, which is often complex or too general. Similarly, students should learn to summarise information on the basis of pre-established goals and criteria.
• Time management skills. Economic analysis teaches us how important it is to manage scarce resources correctly. In particular, there is usually a shortage of time to be allocated to different activities depending on a ranking of priorities. In order to be successful in the time allocation process, it is crucial not to confuse important issues with other tasks demanding an urgent solution.
• Familiarity with data and information management. The ability to identify the most relevant issues, while disregarding meaningless information, is as important as it is infrequent. Individuals should learn to properly use information in order to make good decisions aimed at achieving the goals and targets previously set.
• Communication skills. The success of a particular endeavour may depend on how effectively (clearness, accuracy, precision, etc.) information is expressed. It is also desirable to be familiar with the attitudes that are appropriate when being discussed: elegance, attention, respect, use of congruent arguments, etc.
Part I. Introduction
Chapter 1. Basic Macroeconomic Concepts (Mankiw, ch. 2 and 3)
1.1. The methodology of economic theory
1.2. Theory of the national income
1.3. Macro magnitudes and their calculation
Part II. The Economy in the Long Run
Chapter 2. Labour Market and Unemployment (Mankiw, ch. 6)
2.1. The concept and measurement of unemployment.
2.2. Types of unemployment and its causes
2.3. Main labour market indicators and per capita income
Chapter 3. Money and Prices (Mankiw, ch. 4 and 18)
3.1. Concept and functions of money
3.2. Monetary supply, money multiplier and the role of the central bank
3.3. The Fisher equation and quantitative theory
3.4. Measurement, causes and costs inflation
3.5. Main financial markets
Chapter 4. Economic Growth (Mankiw, ch. 7 and 8)
4.1. Neoclassical theory and the golden rule
4.2. Technological progress and the Solow model
4.3. Endogenous growth theory
4.4. Growth and economic progress
Part III. Short Run Economy
Chapter 5. Main Schools of Macroeconomic Thought (Mank, ch. 9, 10, 13)
5.1. Fundamentals of the classical model and Say’s law
5.2. Quantitative theory and aggregate demand
5.3. The basic Keynesian model and the principle of effective demand
Chapter 6. The IS-LM Model in a Closed Economy (Mankiw, ch. 10 and 11)
6.1. The goods and services market and the IS curve
6.2. The money market and the LM curve
6.3. Determining the aggregate demand function
Chapter 7. Macroeconomic Policy Debates (Mankiw, ch. 9 and 14)
7.1. Keynesian-neoclassical synthesis
7.2. Aggregate supply in the short and long run
7.3. Fiscal policy, multipliers and the crowding-out effect
7.4. Goals and instruments of monetary economic policy
Chapter 8. Inflation and Expectations (Mankiw, ch. 13)
8.1. Unemployment, inflation and the short run Phillips curve
8.2. The role of expectations and the long run Phillips curve
8.3. Natural unemployment rate and supply side policies
Like any other discipline within the field of economic theory, macroeconomics must be studied gradually. In the learning process, comprehension and analytical skills are more important than memorising facts. Experience leads us to conclude that students who work on a regular basis get the best results. In accordance with that, the evaluation method adopted requires lecture attendance and encourages students to study consistently.
TRAINING ACTIVITY |
COMPETENCES |
lecture |
10 21 22 23 27 31 32 34 50 62 68 |
in-class practical work (solving problems/videos/text comments/essays) |
21 22 23 24 27 31 32 50 52 53 54 58 64 |
individual study |
10 21 22 23 27 32 50 52 53 54 56 58 64 |
small group seminars |
21 23 27 34 50 52 54 56 64 67 |
Tutorials |
21 23 27 34 50 52 54 56 64 67 |
solving problems in classroom |
21 22 23 24 27 31 32 50 52 53 54 58 64 |
report presentations & discussions |
10 21 22 23 27 32 34 50 52 53 54 56 58 64 67 |
report presentations |
10 21 22 23 27 32 50 52 53 54 56 58 64 |
TRAINING ACTIVITY | COMPETENCES |
---|---|
magister class | 10 21 22 23 27 31 32 34 50 62 68 |
classroom practice (solving problems/videos/text comments/essays) | 21 22 23 24 27 31 32 50 52 53 54 58 64 |
individual study | 10 21 22 23 27 32 50 52 53 54 56 58 64 |
small group seminars | 21 23 27 34 50 52 54 56 64 67 |
tutorials | 21 23 27 34 50 52 54 56 64 67 |
solving problems at classroom | 21 22 23 24 27 31 32 50 52 53 54 58 64 |
report presentations & discussions | 10 21 22 23 27 32 34 50 52 53 54 56 58 64 67 |
report presentations | 10 21 22 23 27 32 50 52 53 54 56 58 64 |
Like any other discipline in the field of economic theory, macroeconomics must be studied gradually. For learning purposes, comprehension and analytical skills are more important than memory. Experience tells us that students who work on a regular basis get the best results.
Therefore, the chosen evaluation system encourages lecture attendance and consistent study, with the final mark composed by three elements:
● Continuous evaluation: 20% of the global final mark.
● Mid-course examination: (up to) 20% of the global final mark.
● Final examination: 60% of the global final mark (or even 80%).
The type of questions to be encountered in the examinations and the procedure for the continuous evaluation will be explained in the lectures. To pass the course, a minimum score of 45/100 on the final examination is required.
EVALUATION SYSTEM |
ECTS CREDITS |
PERCENTAGE |
classroom attendance and participation |
10 |
|
evaluating time management systems (timetable, daily work, exercises delivery) |
10 |
|
mid-course examinations |
20 |
|
final examinations |
60 |
EVALUATION SYSTEM | ECTS CREDITS | PERCENTAGE |
---|---|---|
classroom assistance and participation | 10 | |
avaluating systems of time management (timetable, daily work, exercises deliverying) reports & discussions avaluation | 10 | |
partial exams | 20 | |
final exams | 60 |
Main Textbook:
● Gregory Mankiw (2015), 9th Edition: «Macroeconomics». Worth Publishers, New York. (ISBN-13: 978-1429240024). Spanish version of the 8th Edition: (2014): «Macroeconomía». Antoni Bosch, Barcelona. (ISBN-13: 978-8495348944).
Other References: