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COURSE NAME: "Intermediate Macroeconomics"
SEMESTER & YEAR: Spring 2021

INSTRUCTOR: Lorenzo Ferrari
EMAIL: [email protected]
HOURS: TTH 11:30 -12:45 PM
PREREQUISITES: Prerequisites: EC 201, EC 202

The subject matter of this course is the nature and determination of a country’s most important measures of economic well-being: aggregate output and unemployment, and a series of related variables such as inflation, interest rates, and exchange rates. The course presents economic models that can be used as tools to understand the behavior of these aggregates and evaluate alternative economic policies.
Note: This is just a preliminary draft of the syllabus. At the start of the semester I will post on MYJCU and hand out in class the official syllabus (spelling out all of my policies, examination dates etc.).
The course presents the economic models and techniques used in modern macroeconomic theory as tools to understand the behaviour of several aggregates (e.g. output, unemployment, inflation, interest rates, exchange rates) and evaluate alternative economic policies (monetary and fiscal policy used by governments and central banks to fight unemployment and promote growth in the economy). Firstly, the course will cover the major macroeconomic markets. Financial and goods markets will be analyzed through the IS-LM model in a closed and then in an open economy. We will then investigate the labour market, in order to construct the AD-AS model. We will derive the Phillips Curve, to investigate the short-run trade-off between inflation and unemployment. Then, we will focus on the role of expectations (adaptive and rational) to compare the neo-classical and new-keynesian approaches. Finally, we will use the Solow Growth Model to understand the main determinants (savings, population growth, technological progress) of economic growth in the long-term.
Understand how basic models of the economy summarize and explain the interactions between the main macroeconomic variables  - Learn to read data of current economic performances  - Understand what causes economic activity to fluctuate over the years - Develop specific skills in interpreting the role of different authorities in trying to stabilize the economy and to achieve specific economic and political goals - Understand the connections between the domestic economy and the rest of the world - Review the different positions of several schools of thought  (e.g. Keynesian economics vs classical economics)– and how they can be synthesized - Understand the main determinants of economic growth in the long-run.
Book TitleAuthorPublisherISBN numberLibrary Call NumberComments
MacroeconomicsN. George MankiwWorth Publishers1464182892  

Midterm ICovering chapters: 1,2,3,4,5,6,720%
Midterm IICovering chapters: 10,11,12,1330%
Final examA final comprehensive exam.50%

AWork of this quality directly addresses the question or problem raised and provides a coherent argument displaying an extensive knowledge of relevant information or content. This type of work demonstrates the ability to critically evaluate concepts and theory and has an element of novelty and originality. There is clear evidence of a significant amount of reading beyond that required for the course.
BThis is highly competent level of performance and directly addresses the question or problem raised.There is a demonstration of some ability to critically evaluatetheory and concepts and relate them to practice. Discussions reflect the student’s own arguments and are not simply a repetition of standard lecture andreference material. The work does not suffer from any major errors or omissions and provides evidence of reading beyond the required assignments.
CThis is an acceptable level of performance and provides answers that are clear but limited, reflecting the information offered in the lectures and reference readings.
DThis level of performances demonstrates that the student lacks a coherent grasp of the material.Important information is omitted and irrelevant points included.In effect, the student has barely done enough to persuade the instructor that s/he should not fail.
FThis work fails to show any knowledge or understanding of the issues raised in the question. Most of the material in the answer is irrelevant.



Participation: participation is highly encouraged, being a critical component in mastering the material at hand. 

Classroom Conduct: Students are expected to demonstrate classroom etiquette through: 
-Attendance: Students are expected to attend every class throughout the term;
-Punctuality: Students are expected to arrive for class ON TIME;
-Disruptive Behavior: Students should refrain from distracting behavior such as holding side conversations, disruptive eating, using cell phones.

Reading & Preparing: students are expected to read the assigned material to enrich the discussion and better achieve the objectives of the course. 

Assignments: students are expected to submit their papers before deadlines; late paper will not be accepted under any circumstances, these circumstances include printer equipment failures, network downtime, failure of the personal computer’s hard-drive, paper shortages…etc.

You cannot make-up a major exam (midterm or final) without the permission of the Dean’s Office. The Dean’s Office will grant such permission only when the absence was caused by a serious impediment, such as a documented illness, hospitalization or death in the immediate family (in which you must attend the funeral) or other situations of similar gravity. Absences due to other meaningful conflicts, such as job interviews, family celebrations, travel difficulties, student misunderstandings or personal convenience, will not be excused. Students who will be absent from a major exam must notify the Dean’s Office prior to that exam. Absences from class due to the observance of a religious holiday will normally be excused. Individual students who will have to miss class to observe a religious holiday should notify the instructor by the end of the Add/Drop period to make prior arrangements for making up any work that will be missed.

As stated in the university catalog, any student who commits an act of academic dishonesty will receive a failing grade on the work in which the dishonesty occurred. In addition, acts of academic dishonesty, irrespective of the weight of the assignment, may result in the student receiving a failing grade in the course. Instances of academic dishonesty will be reported to the Dean of Academic Affairs. A student who is reported twice for academic dishonesty is subject to summary dismissal from the University. In such a case, the Academic Council will then make a recommendation to the President, who will make the final decision.
John Cabot University does not discriminate on the basis of disability or handicap. Students with approved accommodations must inform their professors at the beginning of the term. Please see the website for the complete policy.


SessionSession FocusReading AssignmentOther AssignmentMeeting Place/Exam Dates
Week 1Macroeconomics as a social science - The data of MacroeconomicsChapter 1, Chapter 2 25 February
Week 2The goods marketChapter 3 25 February
Week 3+4The monetary system and inflationChapter 4, Chapter 5 25 February
Week 4The open economyChapter 6 25 February
Week 5Unemployment and labor marketChapter 7 25 February
Week 6Taking the first exam and solving itChapters 1,2,3,4,5, 6, and 7 25 February
Week 7+8Aggregate demand: the IS-LM modelChapter 11 25 March
Week 8+9Aggregate demand: applying the IS-LM modelChapter 10-12 25 March
Week 9+10Mundel-Fleming Model and the Exchange RateChapter 13 25 March
Week 10Taking the second exam and solving it in classChapters 10, 11, 12. and 13 25 March
Week 11The Phillips CurveChapter 14 3-7 May
Week 12+13Economic growth; capital accumulation and population growthChapter 8 3-7 May
Week 14Economic growth: technology, empirics and policyChapter 9 3-7 May
Week 14Course revision  3-7 May