The course aims at introducing students to the foremost topics in modern macroeconomics. Specifically, the course will focus on three main macroeconomic models (respectively, the short-term IS-LM model; the medium-term IS-LM-PC model; the long-term neoclassical growth model), and will analyze the key economic policies (either fiscal/monetary, or labor, or else growth policies) a policy-maker can carry out according to her own objectives and the time-span considered (short, medium and long run, respectively). Finally, a special focus will be devoted to the analysis of the: (1) Economic impact of international trade in goods and services (included financial services); (2) Management of the exchange rate (both nominal and real); (3) Role played by some specific European Institutions (e.g., the European Central Bank) in handling global economic and financial crises (such as the last one of 2007-2008).
Expected learning outcomes
At the end of this course (which is composed both of theoretical lectures as well as practical activities) the student will be able to: (1) Analyze autonomously and interpret critically such real macroeconomic phenomena as those related to a change in the inflation rate, the unemployment rate, and the GDP growth rate; (2) Examine and fully understand the impact (both macro- and micro-economic) of particular public policies (such as those that aim at managing the nominal and real exchange rates and, therefore, at changing the importance played world-wide by international trade in goods and services, included financial services); (3) Assess the role played by some specific European Institutions (such as the European Central Bank) in handling specific global economic and financial crises (as the last one of 2007-2008).
Lesson period: Second trimester
(In case of multiple editions, please check the period, as it may vary)
Chapters: 1-2-3-4-5-6-7-8-9-17-18-19 (with the exception of paragraph No. 5) -10-11. THE APPENDICES THAT CAN BE FOUND AT THE END OF EACH CHAPTER ARE PART OF THE PROGRAMME.
Prerequisites for admission
Before taking the Macroeconomics-course students are warmly invited to take a basic course in Mathematics.
The course is composed of theoretical (40 hours) and practical (20 hours) classes. The aim of the practical classes is to show students how they can concretely (e.g., in view of the resolution of numerical exercises) use the theory learnt during the theoretical section of the course.
TEXT-BOOK: O. Blanchard - A. Amighini - F. Giavazzi (Edition: September 2016). Macroeconomia: Una Prospettiva Europea. Bologna: Il Mulino.
WORK-BOOK: D.W. Findlay (March 2017). Esercizi di Macroeconomia: Guida allo studio del testo di Olivier Blanchard, Alessia Amighini, Francesco Giavazzi (a cura di Lucia Dalla Pellegrina). Bologna: Il Mulino.
Assessment methods and Criteria
For all students the exam is written. The aim of the written exam is to make sure that students have understood the basic concepts of modern Macroeconomics discussed during the course and are able to properly use them in describing real (macroeconomic) phenomena. The written exam is composed of a mix of theoretical and numerical exercices. Every exercise may, in turn, be composed of different questions. As a whole there will be a total of 20 (twenty) questions. All questions are in the form of multiple-choices questions. Hence, for any single question the student will need to choose the answer that s/he considers to be the right one. For any correct answer, the students gets +1.5 points; for any wrong answer, the students gets -0.5 points; for any unanswered question, the students gets 0 points.