Intermediate Macroeconomics
10-Week Undergraduate Course
Terms taught: Autumn 2015, Winter 2016, Spring 2016, Spring 2017, Winter 2018, Spring 2018
Course Description: This undergraduate course develops macroeconomic theory to explain aggregate economic movements. The first part introduces goods and financial markets, then develops the IS-LM model analyzing their interactions. The second part examines labor markets, wage determination, and the Phillips Curve, culminating in the AS-AD model. The final part explores technological progress and long-run growth through the Solow model and endogenous growth theory. Students apply theoretical frameworks to current events through problem sets, interactive polls, and readings including classic papers. Prerequisites include introductory economics and familiarity with basic calculus and statistical methods.
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 along the LM curve, with an increase in money demand moving the equilibrium point rightward along the curve. 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 |
|---|---|---|
| Spring 2017 | 4.5/5 | 16 |
| Spring 2016 | 4.1/5 | 18 |
| Winter 2016 | 3.3/5 | 15 |
| Autumn 2015 | 3.2/5 | 5 |
Rating is the median for “Instructor’s contribution to the course” in the University of Washington course evaluation, on a 0–5 scale; Responses is the number of students who completed the evaluation.