Principles of MacroeconomicsECN 221W
Prerequisites: Prerequisites: READING LEVEL 2 or WRITING LEVEL 2 and one of the following: MATH LEVEL 4 or MGT 110 or SKMA 111.
Studies the impact of consumer, business and government decisions on the macro economy. Includes: supply and demand analysis, measures of macroeconomic performance, money and banking, and various schools of macroeconomic thought and their policy implications. (60-0)
Outcomes and Objectives
Identify, generate and manipulate basic economic models and their assumptions.
- Use the production possibilities frontier to discuss scarcity, opportunity costs, factors of production, limitations on production, gains from trade and limitations of simple economic models.
- Use supply and demand to determine market changes in price and quantity.
Identify basic macroeconomic models, their assumptions and their policy implications.
- Demonstrate a historical understanding of the roots of competing macroeconomic theories.
- Identify, compare and contrast, and discuss the underlying assumptions, strengths, weaknesses and workings of the competing macroeconomic theories.
- Demonstrate an understanding of the U.S. economy’s place in the global economy.
Demonstrate basic macroeconomic models using graphical methods.
- Identify, graph and manipulate macroeconomic states in aggregate demand/aggregate supply and Keynesian models of the economy.
- Demonstrate graphically an economy’s moving to full employment using the competing macroeconomic models and the impacts of the labor and funds markets in these transitions.
- Demonstrate the impacts of fiscal and monetary policy on the economy through the various macroeconomic models.
Derive basic macroeconomic statistics and discuss their strengths and weaknesses.
- Define government measures of economic activity.
- List the strengths and weaknesses of government measures of economic activity.
- Compute economic growth rates, inflation rates, and unemployment rates and compare them over time.
Identify the special role of the financial sector in economic activity.
- Describe the role of financial institutions in the U.S. banking system and their links to monetary policy.
- Describe and analyze the role of central banks and the unique nature of the Federal Reserve System in terms of their potential impact on the economy as a whole.
- Compare and contrast the strengths and weaknesses of monetary policy and fiscal policy.
Write effectively for a specific audience and purpose.
- Articulate clearly important ideas.
- Select, organize, and present details to support a main idea.
- Employ the conventions of written, edited, standard English.
- Use appropriate vocabulary for the audience and purpose.