MACROECONOMICS 1

1st Module, 2002-2003

Professors: Ben Bental, Moshe Syrquin

TAs:

Group A Mikhail Karev, mkarev@nes.ru
Group B Gennadiy Kasiyan, gkassian@nes.ru
Group C Sergei Golovan, sgolovan@nes.ru
Group D Konstantin Kozlov, kkozlov@nes.ru

General

This course is the first in a sequence of six module-courses in macroeconomics.

The course introduces the building blocks of the real economy. It emphasizes both substantive issues and methodological ones. The course is based on the first ten chapters of the Sachs and Larrain text, and concentrates on the classical model.

There will be weekly homework assignments, to be turned in to the teaching assistants in the exercise sessions. The homework assignments will be based on questions in Sachs and Larrain as well as some supplementary questions.

Grades on the homework will count for 20% of the final grade. The remaining weight is assigned to the final examination.

Book

Jeffrey D. Sachs and Felipe Larrain B., Macroeconomics in the Global Economy, Prentice-Hall, Inc., first edition, 1993. Denoted below as SL.

Topics and Readings

1.       National income accounts. SL, ch. 2.

2.       The demand for labor, and labor supply. SL, ch. 3.

3.       Consumption and saving. SL, ch. 4.

4.       Investment. SL, ch. 5.

5.       The current account. SL, ch. 6.

6.       The government. SL, ch. 7.

7.       The demand for money. SL, ch. 8.

8.       The supply of money. SL, ch. 9.

9.       Exchange rates and prices. SL, ch. 10.