Macroeconomia - II Modulo
1. Knowledge and understanding
The course aims to provide students with basic knowledge on how an economic systems works in aggregate, so as to lay the ground for the study of macroeconomic policies. Understanding the motivations and macroeconomic consequences of public policies is, indeed, an essential expertise with respect to the job placement performance of this laurea degree. The progress of understanding by students will be assessed with a daily frequency during the course, through the adoption of interactive teaching methods that stimulate discussions among students and reveal comprehension gaps, if any.
2. Applying knowledge and understanding:
In training experts in the economics and administration of firms, professors are required to infuse the ability to critically analyze the economic reality wherein firms operate. Comparisons among theories and empirical evidence will therefore occupy a central role in the course. Knowledge application abilities will be assessed through exercise sessions and exam simulations, in which students, guided by the professor, will solve the macroeconomic models presented during the course and will apply them to case studies in macroeconomic policy, focusing also on recent events.
3. Making judgements:
Judgment and critical skills will be stimulated by illustrating the main limitations of the existing macroeconomic theories and policies, in light of the empirical evidence and of methodological and epistemological questions.
4. Communication skills:
students are supposed to learn skills related to communicating their newly acquired knowledge with the appropriate technical terms, in such a way to demonstrate analysis, synthesis, and application skills. Communications skills will be verified even before the oral examination, through the exercise sessions, in which students will be asked to explain how to solve exercise and apply theories and policies.
5. Learning skills: at the end of the course, the exam, together with exercise sessions, the analysis of case studies, student debates and exam simulations will provide enough information to evaluate the learning skills.
Admission to the Macroeconomics course and exam does not require any previous course. Though, we recommend course attendance and study of the course programme only to students who have already passed the Mathematics for Economics and Microeconomics exams. The mathematical pre-requisites of the course are: elementary algebra calculus, study of mathematical functions, basic notions of analytical geometry, systems of linear equations, derivatives of elementary and composite functions.
Introduction: basic macroeconomic facts; summary of the main ideas in the history of economic thought.
Short run: markets for goods; monetary and financial markets; the IS-LM model.
Medium run: the labour market; the AS-AD model; the Phillips curve; inflation and monetary growth.
Expectations: basic notions; expectations in financial markets; expectations in consumption and investment decisions; the IS-LM model with expectations; expectations and macroeconomic policy.
The open economy: production, interest rate and exchange rate; exchange rate regimes; optimum currency areas.
Macroeconomic policy: monetary policy; fiscal policy; the public budget.
Learning assessment modes.
The exam shall consist of a written test and an oral examination. The written test is in two parts: part A includes exercises on two among the main course topics; part B consists of a list of true/false statements. The oral examination shall be accessed by students who attain a 60% score in at least one of the parts, and it is compulsory for those who reach the 60% threshold in only one part.
Each exercise and true/false statement allows to obtain a score. A full score requires correct and adequately explained exercise solutions, as well as correct and sufficiently motivated answers to true/false statements. A lower score is assigned in case of calculation errors and partial explanations, whereas a zero score is assigned in case of wrong exercise solutions and wrong answers.
Blanchard O., Amighini A., Giavazzi F., Scoprire la macroeconomia I. Quello che non si può non sapere. Il Mulino.
Blanchard O., Amighini A., Giavazzi F., Scoprire la macroeconomia II. Un passo in più. Il Mulino.
Both textbooks are required. In addition, students can use the following book for exercises:
Findlay D.W., Esercizi di macroeconomia. Il Mulino.