2023
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
Our major goal is to improve the level of students macroeconomic education.
Students will be encouraged to learn the basic topics of macroeconomics as well as the way to better use them
to understand, analyse and (try to) solve the problems that they will have to face.
We will privilege the development of an intuition-based approach to macroeconomic issues as for the majority
of the students this unit will be their first formal contact with this scientific area.
The final goal is simply to stimulate the students to take pleasure in learning Economics and, in particular, macroeconomics.
-General skills: Responsibility, independent reasoning, decision-making capacity and innovation, autonomy and initiative;
- Professional skills: team-working, oral and written communication skills;
Specific skills:
knowledge about principles of macroeconomic and its applications to the real world, capacity of abstraction,
model building, economic thinking and intuition.
Students will be encouraged to learn the basic topics of macroeconomics as well as the way to better use them
to understand, analyse and (try to) solve the problems that they will have to face.
We will privilege the development of an intuition-based approach to macroeconomic issues as for the majority
of the students this unit will be their first formal contact with this scientific area.
The final goal is simply to stimulate the students to take pleasure in learning Economics and, in particular, macroeconomics.
-General skills: Responsibility, independent reasoning, decision-making capacity and innovation, autonomy and initiative;
- Professional skills: team-working, oral and written communication skills;
Specific skills:
knowledge about principles of macroeconomic and its applications to the real world, capacity of abstraction,
model building, economic thinking and intuition.
Contents
1. Science of Macroeconomics. Macroeconomic variables & data. The time-dimension in macroeconomics..
2. Short run economic fluctuations.
Fiscal policy and the multiplier. Government budget, budget deficits & public debt.
Monetary system. What is money and how is it created, commercial banks & money supply. Central bank and its
instruments for monetary policy. Taylor rule.
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 hypothesis and the uncovered interest rate
parity. Exchange rates regime.
The aggregate demand: overview
3. The supply side economy
Labour market; structural and cyclical unemployment, the natural rate of unemployment, sources of labour
rigidities. Inflation and Phillips curve.
Aggregate supply: the Okun?s law, determinants of the aggregate supply .
Aggregat
2. Short run economic fluctuations.
Fiscal policy and the multiplier. Government budget, budget deficits & public debt.
Monetary system. What is money and how is it created, commercial banks & money supply. Central bank and its
instruments for monetary policy. Taylor rule.
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 hypothesis and the uncovered interest rate
parity. Exchange rates regime.
The aggregate demand: overview
3. The supply side economy
Labour market; structural and cyclical unemployment, the natural rate of unemployment, sources of labour
rigidities. Inflation and Phillips curve.
Aggregate supply: the Okun?s law, determinants of the aggregate supply .
Aggregat
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 use of the e-learning moodle platform will be extensively used
The typical lecture will focus make on the presentation and the development of the relevant models, presenting the underling motivations, hypothesis, discussing the results and identifying their implications for macroeconomic policies.
The teaching methodology also seeks the acquisition of students? skills and methods of scientific work according international standards.
Student?s assessment will be made in a continuous base, which includes, 4 short quizzes, (40%) and a final exam (60%) Alternatively students will be allowed to make a single final exam (100%).
The use of the e-learning moodle platform will be extensively used
The typical lecture will focus make on the presentation and the development of the relevant models, presenting the underling motivations, hypothesis, discussing the results and identifying their implications for macroeconomic policies.
The teaching methodology also seeks the acquisition of students? skills and methods of scientific work according international standards.
Student?s assessment will be made in a continuous base, which includes, 4 short quizzes, (40%) and a final exam (60%) Alternatively students will be allowed to make a single final exam (100%).
Teaching Staff
