PRINCIPLES OF MACROECONOMICS Nathalie.Mathieu-Bolh@uvm.edu Office Location: 335, Old Mill Office Hours: Tuesdays & Thursdays 10:30-11:30 or by appointment. Tel: (802)-656-0946 Supplemental Instructor: Juliette Miller Office: Learning Coop Office Hours: Mondays 14:30-15:30 and Tuesdays 11:45-12:45 Review Sessions: Sundays 19:00-20:00 and Wednesdays 19:00-20:00 in Jeffords 112 (Starting September 14 th ) Class webpage: connect.macgraw-hill.com (See registration instructions below) ~ COURSE DESCRIPTION ~ MAIN TOPICS COVERED This course is an introduction to a field of economics called Macroeconomics, which looks at the behavior of the economy as a whole. It is organized around three sections: Macroeconomics: Concepts, issues and data The initial goal of this course is to learn how to think like an economist and discover important investigation topics in macroeconomics. After introducing a few core principles (such as the cost-benefit principle), we define and explore production, unemployment and inflation. How do economists measure them? What do they mean? What has the recent evolution of production, unemployment and inflation been? The economy in the long run The behavior of the economy over very long periods of time can be described with economic growth. Why are economists interested in economic growth? What are the determinants of growth? We study the links between economic growth, productivity, living standards, and wellbeing. We also study financial markets. What are financial markets? What happens when financial markets do not function properly? We look into the 2008 financial crisis. We describe the financial system, the process of money creation, and how money growth relates to inflation. We study the connection between international capital flows and trade. The economy in the short run Expansions and recessions are situations that generally last for short periods of time. What are the causes of recessions or expansions? How to fight a recession? We study the Aggregate Demand - Aggregate Supply model to answer those questions. We use economic theory to analyze past fiscal and monetary policies.
OBJECTIVES My objectives for this course are to help you: Understand current economic issues by introducing macroeconomic concepts, topics, and data. Learn how to use basic economic models to understand the functioning of the economy and economic policy outcomes. COURSE REQUIREMENTS On line homework assignments: Weigh 25% of the semester performance. Midterm 1, midterm 2 and final exam: Each weighs 25% of the semester performance. There are two types of homework. Non-graded and graded. - Non-graded homework consists in chapters assigned for reading using the Learn Smart online tool. Learn Smart is an intelligent learning system based on cognitive mapping that diagnoses your knowledge of a particular subject, creates an individualized learning path, and helps retention. - Graded homework consists in questions and problems to be completed online. There is about one assignment per chapter. - Graded homework needs to be completed by a specific due date to receive full credit. Homework solutions are posted at the due date, which does not allow for late homework. The lowest assignment grade is dropped. -You are responsible for checking the class website every week. The midterms and final exam are non-cumulative. You are expected to attend all lectures and take notes. Homework and exams are essentially lecture based. I will be asking questions about examples and additional material covered in class in the exams. In order to complete online homework, you will need a new homework access code each time. The access code is only given in class. There are extra credit opportunities on a regular basis, announced in class. Extra credit opportunities take different forms: Press articles to summarize, group problems or essay questions. For all those reasons, missing lectures would seriously put you at risk of failing this class. COURSE MATERIAL Principles of Macroeconomics with Connect Plus 5th edition, by Robert Frank and Ben Bernanke (required): All online assignments and the interactive ebook for this course are available in Connect Plus. You have the following options: Option 1: Connect Plus Access Card, available in the Bookstore It will give you access to the online tool, which includes the electronic version of the textbook. You will also have a printed copy of the textbook.
Option 2: Connect Plus, to purchase online on the Connect website It will give you access to the online tool, which includes the electronic version of the textbook (but no printed copy). This is your least expensive option in the course. You will need to register online using the following address that you need to copy and paste in your browser: http://connect.mheducation.com/class/n-mathieu-bolh-ec-011-d-and-ec-011-zrd Here is a link going over the steps to register if you have any questions: http://create.mcgrawhill.com/wordpress-mu/success-academy-student/registering-for-connect/ If you have any technical questions regarding registering or accessing Connect please contact McGraw- Hill directly at: 800-331-5094 or go to www.mhhe.com/support. Their support team is open from M-Th 9am-Midnight, Fridays 9am-7pm, Saturdays 9am-1pm, Sundays 1pm-Midnight. Please do not come to me with Connect questions without contacting McGraw-Hill first. McGraw-Hill will help you verify you have had an issue, provide both a case number and timed date stamped report you can submit to me and work towards helping resolve your issue. I will only consider granting extensions if you have followed this process. ~ PROVISIONAL COURSE SCHEDULE ~ (Chapters from the textbook) Week Dates Reading 1 08/31-09/04 Introduction A few concepts from Chapters 1,2 and 3. 2 09/07: Labor day 09/08-09/11 Introduction A few concepts from Chapters 1,2 and 3 3 09/14-09/18 Chapter 4: Spending, Income and GDP 09/14 Add/Drop deadline 4 09/21-09/25 Chapter 5: Inflation and the Price Level 5 09/28-10/02 Chapter 6: Wages and Unemployment 10/01 Midterm 1 6 10/05-10/09 Chapter 6: Wages and Unemployment 7 10/12-10/16 Chapter 7: Economic Growth
8 10/19-10/23 Chapter 8: Saving Capital Formation and Financial Markets 9 10/26-10/30 Chapter 15: Section on International capital flows and the balance of trade 10 11/02-11/06 11/02: Last day to withdraw Chapter 9: The Financial System, Money and Prices 11/03: Midterm 2 11 11/09-11/13 Chapter 9: The Financial System, Money and Prices 12 11/16-11/20 Chapter 10: Short term Fluctuations 13 11/23-11/27: Thanksgiving break Chapter 13: Aggregate Demand and Aggregate Supply 14 11/30-12/04: Chapter 13: Aggregate Demand and Aggregate Supply 15 12/07-12/09 Chapter 14: Macroeconomic Policy Friday, December 18 : FINAL EXAM 13:30 16:15 in Williams 301 ~ POLICIES~ You need to be aware of UVM policies by reading the UVM Rights and Responsibilities of Undergraduate. I also have a few specific guidelines. You can always talk to me during my office hours if you have any questions or concerns. Absences: - For absences on test days, accepted excuses are limited to: Illness documented by the Dean of Students office. Planned athletic event documented by your coach request Planned university sanctioned events (ex: debate tournament) documented by your supervisor. Planned religious event - Since the homework solutions are posted online, late homework cannot be accepted. Furthermore, the homework due dates are announced in advance. It is your responsibility to complete assignments early to plan for contingencies such as computer related issues, work commitments, athletic event, or university function.
- Homework access codes are only announced in class and will not be communicated by email to students who miss class. Tardiness: - If the day of a test a student comes late while one of his/her classmates has already completed the test and left the classroom, the late student will not be authorized to take the exam and gets a grade of zero. - You should arrive prepared for class and on time, and remain in class until the class is dismissed. Important: - If you have a religious, athletic, planned medical conflict, or disability, do not forget to provide me with the university documents within the specified deadlines (see UVM policy). - ACCESS students are responsible for reserving an exam room for midterms and final exam days. The reservations should be done during the first two weeks of class with ACCESS services. - To ensure the quality of discussions in class, everyone in the classroom needs to act in a respectful way. Students who feel like participating in the discussion need to raise their hand and wait for permission to talk. Students should not interrupt each other. Grades: I use a standard grade scale from A+ to F: A s: Score superior to 90% B s: Score between 80 and 90% C s: Score between 70 and 80% D s: Score between 60 and 70% F s: Score below 60%