MAPE17 - MACROECONOMICS

The aim of the course is the introduction to macroeconomic analysis through the language and the essential tools of macroeconomics. Macroeconomic analysis studies the economic system as a whole and tries to interpret and forecast aggregate variables such as gross domestic product, the level of unemployment, inflation, and exchange rates, that are fundamental variables in the functioning of an economy, the understanding of which is crucial in the formulation of policies aimed at improving the social welfare. The course analyses: i) the models that explain the determinants of equilibrium in the goods market and in the financial markets in both closed and open economies; ii) economic fluctuations in the short and medium/long term; iii) the policies that can be implemented to limit the effects of such fluctuations. The use of the models is aimed at understanding the consequences in the economy of public economic policy interventions, such as fiscal policies and monetary policies. The course also offers an introduction to growth models to explain the evolution of aggregate output in the long run.At the end of the course, students will have acquired the knowledge/skills necessary to:KNOWLEDGE AND UNDERSTANDING ABILITY- understand the causal links among the main macroeconomic variables- understand the factors determining cyclical fluctuations and the long-term economic growth- understand, interpret and predict the consequences of economic policies- interpret the model of aggregate supply and demand- analytically and graphically determine the IS-LM curves- use the IS-LM model to explain how the monetary and fiscal policy workKNOWLEDGE AND UNDERSTANDING (applied)- explain the canonical approaches of the economic policy distinguishing the various underlying economic theories- apply macroeconomic models to formulate rigorous reasoning on various macro issues- understand the content of articles and documents related to macroeconomic issues.AUTONOMY OF JUDGMENT:- critically analyze the effect of different shocks on both the domestic and the global economy- evaluate the role of the key economic actors and the effects of policy actions in different economic scenarios- develop an autonomous discourse on the most relevant economic facts, also in relation to the events of the economic and financial crisis- evaluate the public-sector intervention in the economyCOMMUNICATION SKILLS:- process data, documents, and opinions on the most important macroeconomic issues- clearly present to an audience of peers their reasoning on a given macroeconomic issue, and justify their conclusions with theoretical foundations- use the technical language of Macroeconomics and Economic Policy to develop the fundamental concepts learned during the courseABILITY TO LEARN- autonomously undertake more advanced economics courses- autonomously plan and conduct a small research project (e.g. a degree thesis) on macroeconomic topics