Intermediate Macroeconomics
10-Week Undergraduate Course
Course Description: This intermediate macroeconomics course provides a comprehensive understanding of aggregate economic phenomena and policy. We begin with national income accounting and the components of GDP, then develop the IS-LM model to analyze short-run fluctuations. The course covers monetary and fiscal policy effectiveness, aggregate demand and supply dynamics, and the Phillips curve trade-off between inflation and unemployment.
We explore economic growth models, including the Solow model and endogenous growth theory. International macroeconomics topics include exchange rate determination, balance of payments, and open economy policy. The course concludes with contemporary issues such as financial crises, unconventional monetary policy, and fiscal sustainability. Throughout, we emphasize both theoretical foundations and empirical applications to current economic events.
Figure: The LM Curve in the IS-LM Model
Notes. The LM curve represents equilibrium in the money market, showing combinations of interest rates and output levels where money demand equals money supply. The upward slope reflects that higher output increases money demand for transactions, requiring higher interest rates to maintain equilibrium. The figure shows how shifts in money demand affect the position of the equilibrium point on the LM curve, with an increase in money demand shifting it equilibrium point rightward. The intersection of the LM curve with the IS curve determines equilibrium output and interest rates in the goods and money markets simultaneously.
Student Evaluations
| Year | Rating | Responses | Student Comment |
|---|---|---|---|
| 2019 | 4.8 | 20 | "Rory was great" |