Macroeconomics 2

Number of Credits: 7 credits

Hours: 30 hours of Lectures, 30 hours of Tutorials including exam, and 20 hours of flipped Classrooms with tutor support.

General Presentation: This course is the second one in a sequence of courses that aim to cover macroeconomics at the Graduate level. This course is dedicated to short term macroeconomics : the determination of production and employment in an open economy ; business cycles and stabilization policies, open macroeconomics, the dynamics of inflation and unemployment, the neoclassical synthesis, new Keynesian economics, imperfect competition in macroeconomics.

Course Content:

- aggregate demand and supply

- open macroeconomics

- exchange rates and the balance of payments

- the dynamics of inflation and unemployment

- stabilization policies

- static models with imperfectly competitive product market

- market power on product and labor markets, and underemployment

- fiscal policy and public spendings under imperfect competition

- monetary policy, neutrality and nominal rigidities

- coordination failures

- some macro-dynamic implications of imperfect competition

Books: Romer, D (2005): Advanced Macroeconomics. New-York: Mc Graw-Hill. Third Edition.

Blanchard, O. et S. Fisher (1989): Lectures on Macroeconomics. Cambridge: MIT Press.

Blanchard O. J. (2005): Macroeconomics. Prentice Hall. Fourth Edition.

Prerequisites: Macroeconomics 1