Syllabus and Overview - Shandong Universitycourse.sdu.edu.cn/G2S/eWebEditor/uploadfile/... ·...
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Intermediate MacroeconomicsUndergraduate Course Level 2
Syllabus and Overview
Jilei HuangSchool of Economics,Shandong University
Feb 26, 2013
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 1 / 11
Overall IntroductionCourse Instructor
Personal Information:Name: Dr. Jilei HuangEducation: MSc in Economics, University of Edinburgh
PhD in Macroeconomics, University of Glasgow
Contact:O¢ ce: Zhixin Building B224Tel: 0531-88365367E-mail: [email protected] web: http://www.econ.sdu.edu.cn/tree/content.php?id=52847
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 2 / 11
Overall IntroductionGeneral aims of this course
Congrats! You should have successfully passed Level 1 Macroeconomics.BUT it is only a prerequisite for this intermediate course which aims to:
develop deeper insights of the economy working as a whole;
To provide a toolkit in terms of the core theoretical models used inmodern macroeconomics;
To apply the toolkit to enhance understanding of real worldmacroeconomic experiences and important macroeconomic issues;
To enable to analyzing recent macroeconomic episodes and policydiscussions, especially on the Financial Crisis.
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 3 / 11
Overall IntroductionGeneral aims of this course
Congrats! You should have successfully passed Level 1 Macroeconomics.BUT it is only a prerequisite for this intermediate course which aims to:
develop deeper insights of the economy working as a whole;To provide a toolkit in terms of the core theoretical models used inmodern macroeconomics;
To apply the toolkit to enhance understanding of real worldmacroeconomic experiences and important macroeconomic issues;
To enable to analyzing recent macroeconomic episodes and policydiscussions, especially on the Financial Crisis.
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 3 / 11
Overall IntroductionGeneral aims of this course
Congrats! You should have successfully passed Level 1 Macroeconomics.BUT it is only a prerequisite for this intermediate course which aims to:
develop deeper insights of the economy working as a whole;To provide a toolkit in terms of the core theoretical models used inmodern macroeconomics;
To apply the toolkit to enhance understanding of real worldmacroeconomic experiences and important macroeconomic issues;
To enable to analyzing recent macroeconomic episodes and policydiscussions, especially on the Financial Crisis.
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 3 / 11
Overall IntroductionGeneral aims of this course
Congrats! You should have successfully passed Level 1 Macroeconomics.BUT it is only a prerequisite for this intermediate course which aims to:
develop deeper insights of the economy working as a whole;To provide a toolkit in terms of the core theoretical models used inmodern macroeconomics;
To apply the toolkit to enhance understanding of real worldmacroeconomic experiences and important macroeconomic issues;
To enable to analyzing recent macroeconomic episodes and policydiscussions, especially on the Financial Crisis.
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 3 / 11
Overall IntroductionGeneral learning outcomes
By the end of this course, students should have the abilities of
not only describing but also deriving a line of basic theories inmacroeconomics;
Self-learning, i.e., identify the questions interested, dig them out byyourselves, set up the decipline to learn new things;
Economic thinking, i.e., macro is close to our life; how to thinkanalytically, to express yourselves clearly, to link theories to every daylife; your thinking might change after you learn this course.
Hopefully, some of you would be genuinely interested in studyingmacroeconomics;
For some of you, a valuable investment if proceed to studyingadvanced topics in macroeconomics such as a MSc programme, indomestic universities or overseas.
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 4 / 11
Overall IntroductionGeneral learning outcomes
By the end of this course, students should have the abilities of
not only describing but also deriving a line of basic theories inmacroeconomics;
Self-learning, i.e., identify the questions interested, dig them out byyourselves, set up the decipline to learn new things;
Economic thinking, i.e., macro is close to our life; how to thinkanalytically, to express yourselves clearly, to link theories to every daylife; your thinking might change after you learn this course.
Hopefully, some of you would be genuinely interested in studyingmacroeconomics;
For some of you, a valuable investment if proceed to studyingadvanced topics in macroeconomics such as a MSc programme, indomestic universities or overseas.
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 4 / 11
Overall IntroductionGeneral learning outcomes
By the end of this course, students should have the abilities of
not only describing but also deriving a line of basic theories inmacroeconomics;
Self-learning, i.e., identify the questions interested, dig them out byyourselves, set up the decipline to learn new things;
Economic thinking, i.e., macro is close to our life; how to thinkanalytically, to express yourselves clearly, to link theories to every daylife; your thinking might change after you learn this course.
Hopefully, some of you would be genuinely interested in studyingmacroeconomics;
For some of you, a valuable investment if proceed to studyingadvanced topics in macroeconomics such as a MSc programme, indomestic universities or overseas.
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 4 / 11
Overall IntroductionGeneral learning outcomes
By the end of this course, students should have the abilities of
not only describing but also deriving a line of basic theories inmacroeconomics;
Self-learning, i.e., identify the questions interested, dig them out byyourselves, set up the decipline to learn new things;
Economic thinking, i.e., macro is close to our life; how to thinkanalytically, to express yourselves clearly, to link theories to every daylife; your thinking might change after you learn this course.
Hopefully, some of you would be genuinely interested in studyingmacroeconomics;
For some of you, a valuable investment if proceed to studyingadvanced topics in macroeconomics such as a MSc programme, indomestic universities or overseas.
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 4 / 11
Overall IntroductionGeneral learning outcomes
By the end of this course, students should have the abilities of
not only describing but also deriving a line of basic theories inmacroeconomics;
Self-learning, i.e., identify the questions interested, dig them out byyourselves, set up the decipline to learn new things;
Economic thinking, i.e., macro is close to our life; how to thinkanalytically, to express yourselves clearly, to link theories to every daylife; your thinking might change after you learn this course.
Hopefully, some of you would be genuinely interested in studyingmacroeconomics;
For some of you, a valuable investment if proceed to studyingadvanced topics in macroeconomics such as a MSc programme, indomestic universities or overseas.
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 4 / 11
Overall IntroductionTextbooks and readings
Main textbook: Mankiw, N. Gregory (2012), Macroeconomics, 8thed., Worth.
7th ed. or 6th ed. are also �ne and are available in our library.
Textbook on Financial Crisis additional to Ch20: Mankiw, N. Gregoryand Ball, Laurence M. (2012), Macroeconomics and the FinancialSystem (2012), 1st ed., Chapter 15-19, Worth.
Alternatives: Blanchard, Olivier (2009) Macroeconomics (5th ed.).
Advanced reading: Romer, David (2006, 2011), AdvancedMacroeconomics, 3rd, 4th ed.,McGraw-Hill.
Supplementary readings: supplements, papers and web links will beprovided after class.
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 5 / 11
Overall IntroductionAssessment:
In-class performance (Attendance, class exercises, 10%)
Problem sets (20%)
End of term exam (70%)
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 6 / 11
Overall IntroductionThis course will cover the following topics:
Part I: The economy in the long run (9 hours, Mankiw Ch.8-9)
Exogenous growth theoryEndogenous growth theory and more
Part II: Short run business cycle theory (12 hours, Mankiw Ch.11-14)
Aggregate demand (IS-LM; and open economy)Aggregate supply and the Phillips Curve
Part III: Recent advances in dynamic macroeconomic theory (12hours, Mankiw Ch15-17)
A simpli�ed dynamic New Keynesian DSGE modelDynamic consumption theoryInvestment
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 7 / 11
Overall IntroductionThis course will cover the following topics:
Part IV: Macroeconomic policy (9 hours, Mankiw Ch18-19)
Monetary policyFiscal policy
Part V: The Financial Crisis (9 hours, Mankiw Ch20 and Mankiw andBall Ch15-19)
The �nancial system (securities market, banking system)The Financial Crisis and the policy responses
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 8 / 11
Overall IntroductionThis course will cover the following topics:
Thus we have skipped many chapters (mainly Introduction andClassical theory) about long run economy in the book. Why?
First, the Level 1 book has focused on long run analysis and thusoverlaps with our intermediate book.
Second, modern macroeconomics have focused on short-run theoriesand policies
Almost no economists challenge the long run equilibrium theory now.
However, we maintained the long run growth, because:
Growth still lies in the central part of well-being and still attracts greatinterests of researchers from both developed and developing countries.Growth theory de�nes the steady state that many short run analysismust rely on.
Finally, the Financial Crisis is now the hottest topic in macro and thusdeserves a special treatment in our course.
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 9 / 11
Overall Introduction
The economy has experienced both growth and�uctuations...
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 10 / 11
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World War II
First oil price shock
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World War I
Financial crisis
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Great Depression
World War II
First oil price shock
Second oil price shock
9/11/2001
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Overall Introduction
Fluctuations in the Chinese economy...
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 11 / 12
Overall Introduction
Our strategy studies growth aspects �rst, andthen turns to business cycles.Let�s begin with Part I: The growth theory of the longrun economy.
Jilei Huang (Jilei Huang School of Economics, Shandong University)Undergraduate Course Level 2 Feb 26, 2013 11 / 11