New Economic School
Module I, 2006
Macroeconomics I
Benjamin Bental
1. General
The purpose of this module (and the next) is to provide a very basic introduction into
macroeconomics. The emphasis is on the issues macroeconomists deal with, rather
than methods. Accordingly, the models presented should be regarded essentially as
illustrative, and not necessarily as the "real thing".
2. Administration
Each week, homework will be assigned. The solution is to be handed in during the
section of the following week. Your work will be graded, and weigh 20% in the final
grade.
The remaining 80% of the grade will be awarded to two examinations. First, a midterm examination will be administered in the fourth week. It will weigh another 20%.
The final will carry the remaining 60%.
There will be no makeup examination for the midterm. Students who will not take it
for good cause (that needs to be properly documented) will shift the 20% weight to
the final.
3. Text
N. Gregory Mankiw: Macroeconomics, fifth edition, 2003, Worth Publishing.
This is a concise and efficient text. Nevertheless, you may want to consult also other
intermediate macroeconomics books, such as Sachs and Larrain.
4. Topics
1. Introduction into national accounts. Chapter 2 (2 lectures).
2. A simple aggregate model of output and income determination. Chapter 3 (3
lectures).
3. Economic growth: the Solow model. Chapter 7 (2 lectures)
4. Economic growth: some further insights. Chapter 8 (1 lecture)
5. Investment. Chapter 17 (1 lecture)
6. Money and Inflation. Chapter 4 (2 lectures)
7. The supply of and demand of money. Chapter 18 (1 lecture)
8. The open economy. Chapter 5 (2 lectures)
5. Important Data Sources
Unfortunately, I cannot give you the Russian sites.
For U.S. basic data:
Economic Report of the President, http://www.gpoaccess.gov/eop/index.html
For International basic data:
Penn World Tables, http://pwt.econ.upenn.edu/