Course outline and reading list:

I. Introduction and Measurement

a) Introduction and Historical Trends

Readings: Text, chapter 1

b) National Income Accounts

Readings: Text, chapter 2

II. Classical Macroeconomics

a) Labor Demand. Labor Supply. Output.

Readings: Text, chapter 3

b) The Quantity Theory of Money. The interest rate. Policy Implications.

Readings: Text, chapter 4

III. Keynesian Macroeconomics and Policy Issues

a) The Keynesian Cross. Fiscal policy

Readings: Text, chapter 5

b) The IS-LM model:

Money Demand. Money Market. LM curve. IS curve.

Readings: Text, chapter 6

c) Policy implications

Readings: Text, chapter 7

Midterm I

d) The open economy

Readings: Text, chapters 14 and 15 [6^th ed.: 20 and 21]

e) Money Supply and Monetary Policy

Readings: Text, chapters 16 and 17 [6^th ed.: 16 and 19]

f) Fiscal Policy

Readings: Text, chapter 18

Midterm II

g) Aggregate Supply

Readings: Text ,chapter 8

IV. Monetarism, New Classical Economics, and New Keynesian Economics

a) Monetarism

Readings: Text, chapters 9 (section 9.3), 10

b) New Classical Economics

Readings: Text, chapter 11

c) New Keynesian Economics

Readings: Text, chapter 12 (section 12.2)

d) Summary

Readings: Text ,chapter 13

V. Growth Theory

Readings: Text, chapter 19 [6^th ed.: 17]

Final Exam (May 9, 2002)