Readings

The text for the course is the third edition of Macroeconomics, by Olivier Blanchard. Below is the list of topics covered in class. There are also two additional readings recommended. Finally, it is also suggested that students get into the habit of browsing the daily newspaper The Wall Street Journal or The Financial Times, or the weekly magazine The Economist at least a couple of times a month; all offer good (and well-written) coverage of economic events, and will provide some context for the course.

TOPICS CHAPTERS
What is Macroeconomics About? 1
National Income Accounting 2
The Goods Market 3, 19-2
The Money Market 4
The 1S-LM Model 5
The Labour Market 6
The AD-AS Model 7-9
Economic Growth  10-13
The Real Interest Rate and Present Value 14
The Stock and Bond Markets 15
Consumption 16
Investment 16
Expectations, the Real Interest Rate, and 1S-LM 17
Openness in Goods and Financial Markets 18
Output, the Interest Rate and the Exchange Rate 20
The Exchange Rates and Prices 21
Depressions and Slumps 22
High Inflation 23
Policy Discretion 24
Monetary Policy 25
Fiscal Policy 26
The Story of Macroeconomics 27

Additional Readings:

"International Linkages." (Chap. 6) Pp. 175-217.

National Association for Business Economists. "Going Down." 5 Oct., 2002.