University of Waterloo
Department of Economics
Fall 2012
Class Number, Subject, Course Number, Sections, Campus, Title:
2828, Econ 102 – 001, UW, Introduction to Macroeconomics
3690, Econ 102 – 003, UW, Introduction to Macroeconomics
Lecture Time, Building, Room Number
Econ 102 – 001: M, W, F 10:30 – 11:20 A.M. DC 1351
Econ 102 – 003: M, W, F 1:30 – 2:20 P.M. DC 1351
Instructor, Office Location, Office Hours, Contact Information
Thomas L. Tucker
Office: HH 104
Office Hours: M: 12:15 – 1:00 P.M.; W: 9:15 to 10:00 A.M. & 12:15 to 1:00 P.M.:
F: 9:15 – 10:00 A.M. (Other times by appointment)
Phone: 519-888-4567, ext. 38771
E-mail Address: ttucker@uwaterloo.ca
When you send email, include Econ 102 in the subject line and the message must include
your full name and student ID number.
Course Description:
This course provides an introduction to macroeconomic analysis relevant for
understanding the Canadian economy as a whole. The determinants of national output,
the unemployment rate, the price level (inflation), interest rates, the money supply and
the balance of payments, and the role of government fiscal and monetary policy are the
main topics covered.
Course Objectives:
 Describe the basic macroeconomic variables.
 Understand how the economy works in both the short term and long term.
 Understand how governments and the Central Bank influence economic variables and
outcomes.
 Distinguish the long run from the short run.
 Understand the why of current macroeconomic events.
Required Textbook:
Mankiw, N, Gregory, et al, “Principles of Macroeconomics, 5th Canadian Edition”.
Toronto: Nelson, 2011
Optional Material:
Study Guide: Mankiw, H. Gregory, et al, “Principles of Macroeconomics, Study Guide
5th Canadian Edition”. Toronto: Nelson, 2012.
Resources:
The course outline will be available on the Department of Economics website:
http://economics.uwaterloo.ca/ug-courseschedule.htm , and on LEARN website
http://learn.uwaterloo.ca
Also important announcement and other course material will be posted on LEARN.
So check LEARN on a regular basis.
Course Evaluation:
Midterm 1
Midterm 2
Final Exam
Ch 1, 2, 5 & 6
Ch 7, 8, 9 & 10
Comprehensive
Fri. Oct. 5th, 4:30 - 6:00 P.M.
Fri. Nov.2nd, 4:30 - 6:00 P.M.
TBA (between Dec 6th – 20th)
25%
25%
50%
The exams will include multiple-choice and could include short answer questions.
The date and time for the final exam will be set by the Registrar during the exam
period and announced in class and on LEARN. ALL students are EXPECTED to be
available during the exam period to write the final exam. Travel plans and “cheap air
line flights” are not acceptable reasons for requesting an alternative final exam. See
the following webpage for details:
http://www.registrar.uwaterloo.ca/exams/finalexams.html
Note: To pass this course you MUST pass the final exam.
Additional Information:
1. Missing a Midterm Due to Illness During the Term:
Missing a midterm will automatically result in a grade of zero for that midterm. If a
student misses a midterm due to illness and has valid documentation with a UW
Verification of Illness Form, with approval the weight of the missed midterm will
be shifted to the final exam. This is a privilege and not a right. Midterms will not be
rescheduled.
2. Missing the Final Exam Due to Illness:
Missing the final exam is a very serious matter, which automatically results in a
grade of zero for the final exam and a failed grade in the course. For policies
regarding missed final exams, visit the Economics Department webpage:
http://www.economics.uwaterloo.ca/DeferredExams.html
No deferred final exam will be provided for students who missed all the exams
(including the final exam) in this course. Students are advised to notify me about
missed exams as soon as possible. If notification is not made within one week, the
student will receive a zero on that exam.
3. Submission of Exam Papers:
Late submission of exam papers is not accepted and missed submissions will receive
a grade of zero.
Exam papers must be submitted in whole and on time in the exam room. Exam
papers (a) not submitted on time, (b) submitted with missing pages, (c) submitted
elsewhere, except where students write at the OPD, or (d) not received at all will
receive a grade of zero.
4. Fee-Arranged Issues:
Students are responsible for administrative matters concerning their course
registration including fees. No make-up work or other remedies will be given for
loss of access to LEARN and academic consequences arising from administrative
issues with the Registrar’s Office.
Course Outline
Part 1
Introduction
Chapter 1
Chapter 2
Ten Principles of Economics
Thinking Like an Economist (Exclude Appendix)
Part 3
The Data of Macroeconomics
Chapter 5
Chapter 6
Measuring a Nation’s Income
Measuring the Cost of Living
Part 4
The Real Economy In the Long Run
Chapter 7
Chapter 8
Chapter 9
Production and Growth
Saving, Investment, and the Financial System
Unemployment and Its Natural Rate
Part 5
Money and Prices In the Long Run
Chapter 10
Chapter 11
The Monetary System
Money Growth and Inflation
Part 6
The Macroeconomics of Open Economies
Chapter 12
Open-Economy Macroeconomics: Basic Concepts (Pages 269- 285
only.)
Part 7
Short-Run Economic Fluctuations
Chapter 14
Chapter 15
Aggregate Demand and Aggregate Supply
The Influence of Monetary and Fiscal Policy on
Aggregate Demand
Topics to be Covered & Class Schedule:
Week 1
Week 2
Week 3
Week 4
Week 5
Week 6
Week 7
Week 8
Week 9
Week 10
Week 11
Week 12
Week 13
Sept. 10, 12 & 14
Ch 1: Ten Principles of Economics
Ch 2: Thinking Like an Economics
Sept. 17, 19 & 21
Ch 5: The Real Economy
Ch 6: Cost of Living
Sept. 24, 26 & 28
Ch 7: Production and Growth
Ch 7: Cont.
Oct. 1, 3 & 5
Ch 8: Saving, Investment & the
Financial System
Ch 9: Unemployment & Its
Natural Rate
Review
Oct. 5th Midterm 1 (4:30 - 6:00)
Oct. 10 & 12
Ch 9: (Cont.)
Oct. 15, 17 & 19
Ch 10: The Monetary System
Oct. 22, 24 & 26
Ch 11: Money Growth & Inflation
Oct. 29, 31 & Nov 2
Ch 11: Cont.
Ch 12: Open Economy
Nov 2nd Midterm 2 (4:30 – 6:00)
Nov. 5, 7 & 9
Ch 14: AS-AD
Nov. 12, 14 & 16
Ch 14: Cont.
Nov. 19, 21 & 23
Ch 15: Monetary and Fiscal Policy
Nov. 26, 28 & 30
Ch 15: Cont.
Dec 3
Review
University Statements
Academic Integrity, Grievance, Discipline, Appeals, and Note for Students with
Disabilities:
Academic Integrity: in order to maintain a culture of academic integrity, members
of the University of Waterloo community are expected to promote honesty, trust,
fairness, respect and responsibility.
Grievance: A student who believes that a decision affecting some aspect of his/her
university life has been unfair or unreasonable may have grounds for initiating a
grievance. Read Policy 70 - Student Petitions and Grievances, Section 4,
http://www.adm.uwaterloo.ca/infosec/Policies/policy70.htm
Discipline: A student is expected to know what constitutes academic integrity, to
avoid committing academic offenses, and to take responsibility for his/her actions. A
student who is unsure whether an action constitutes an offense, or who needs help
in learning how to avoid offenses (e.g., plagiarism, cheating) or about “rules” for
group work/collaboration should seek guidance from the course professor,
academic advisor, or the Undergraduate Associate Dean. When misconduct has been
found to have occurred, including writing exams in a section that you are not
registered in, disciplinary penalties will be imposed under Policy 71 – Student
Discipline. For information on categories of offenses and types of penalties, students
should refer to Policy 71 - Student Discipline,
http://www.adm.uwaterloo.ca/infosec/Policies/policy71.htm
Appeals: A student may appeal the finding and/or penalty in a decision made under
Policy 70 - Student Petitions and Grievances (other than regarding a petition) or
Policy 71 - Student Discipline if a ground for an appeal can be established. Read
Policy 72 - Student Appeals,
http://www.adm.uwaterloo.ca/infosec/Policies/policy72.htm
Note for students with disabilities: The Office for Persons with Disabilities (OPD),
located in NH1132, collaborates with all academic departments to arrange
appropriate accommodations for students with disabilities without compromising
the academic integrity of the curriculum. If you require academic accommodations
to lessen the impact of your disability, please register with the OPD at the beginning
of each academic term.