2024
Principles of Macroeconomics
Name: Principles of Macroeconomics
Code: ECN02319L
6 ECTS
Duration: 15 weeks/156 hours
Scientific Area:
Economy
Teaching languages: Portuguese
Languages of tutoring support: Portuguese, English
Regime de Frequência: Presencial
Sustainable Development Goals
Learning Goals
Understand and apply a set of analytical tools that will enable students to "think" about the reality, phenomena and concrete problems of everyday and professional life in accordance with the basic principles of economic theory. Students will be provided with a set of tools to analyse, understand and solve the macroeconomic context in the open economy.
Get students used to learning new problems of a macroeconomic nature.
Stimulate appreciation for economics and macroeconomics in particular.
- General competences: responsibility; independent reasoning, decision making and innovation
- Professional skills: teamwork, oral and written communication skills, ability to perform work in a multidisciplinary context.
- Specific skills: knowledge of the fundamentals of Macroeconomics and its applications; capacity for abstraction, modelling, thinking and economic intuition.
Get students used to learning new problems of a macroeconomic nature.
Stimulate appreciation for economics and macroeconomics in particular.
- General competences: responsibility; independent reasoning, decision making and innovation
- Professional skills: teamwork, oral and written communication skills, ability to perform work in a multidisciplinary context.
- Specific skills: knowledge of the fundamentals of Macroeconomics and its applications; capacity for abstraction, modelling, thinking and economic intuition.
Contents
1. Introduction: what is macroeconomics.
2. The short run economic fluctuations.
The fiscal policy and the multiplier. The government budget, budget deficits and public debt.
The monetary system. What is money and how is it created, commercial banks and money supply. The central bank and its instruments for monetary policy. The Taylor rule.
The open economy; the bases for international trade, the flow of goods, services and capital, nominal and real exchange rates, the (absolute and relative) purchasing power parity theory and the covered and uncovered interest rate parity conditions. Exchange rates regimes.
The aggregate demand: overview
3. The supply side of the economy
The labour market; structural and cyclical unemployment, the natural rate of unemployment, sources of labour rigidities. Inflation and the Curve of Phillips.
The aggregate supply: the Okuns law, determinants of the aggregate supply.
4. Aggregate demand and aggregate supply: a brief overview, the money neutrality.
2. The short run economic fluctuations.
The fiscal policy and the multiplier. The government budget, budget deficits and public debt.
The monetary system. What is money and how is it created, commercial banks and money supply. The central bank and its instruments for monetary policy. The Taylor rule.
The open economy; the bases for international trade, the flow of goods, services and capital, nominal and real exchange rates, the (absolute and relative) purchasing power parity theory and the covered and uncovered interest rate parity conditions. Exchange rates regimes.
The aggregate demand: overview
3. The supply side of the economy
The labour market; structural and cyclical unemployment, the natural rate of unemployment, sources of labour rigidities. Inflation and the Curve of Phillips.
The aggregate supply: the Okuns law, determinants of the aggregate supply.
4. Aggregate demand and aggregate supply: a brief overview, the money neutrality.
Teaching Methods
Lectures are organized around specific topics inside each chapter and complemented by an active learning strategy. Students will be asked to make short presentations in about syllabus subjects.
The platform of e-learning moodle will be extensively used.
The typical lecture will focus on the presentation and the development of the relevant models, presenting the underling motivations and hypothesis, discussing the results and identifying their implications for macroeconomic policies.
Usually, we use statistics to show the economic concepts, the behaviour of economic variables and the relationships between them.
The platform of e-learning moodle will be extensively used.
The typical lecture will focus on the presentation and the development of the relevant models, presenting the underling motivations and hypothesis, discussing the results and identifying their implications for macroeconomic policies.
Usually, we use statistics to show the economic concepts, the behaviour of economic variables and the relationships between them.
Assessment
Students assessment will be made in a continuous base, which includes 2 tests with weights of 45% and 55%, respectively.
Alternatively, students will be allowed to make a single final exam.
Alternatively, students will be allowed to make a single final exam.
Teaching Staff
Certificações
