1 / 22

ECON 303 Intermediate Macroeconomics Instructor : Bernard Malamud Office: BEH 502

ECON 303 Intermediate Macroeconomics Instructor : Bernard Malamud Office: BEH 502 Phone (702) 895 –3294 Fax: 895 – 1354 Email: bernard.malamud@unlv.edu Website: www.unlv.edu/faculty/bmalamud Office hours: MW 11:30 – 12:30 pm, 2:30 – 3:30 pm a nd by appointment.

elden
Télécharger la présentation

ECON 303 Intermediate Macroeconomics Instructor : Bernard Malamud Office: BEH 502

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. ECON 303 Intermediate Macroeconomics • Instructor: Bernard Malamud • Office: BEH 502 • Phone (702) 895 –3294 • Fax: 895 – 1354 • Email: bernard.malamud@unlv.edu • Website: www.unlv.edu/faculty/bmalamud • Office hours: MW 11:30 – 12:30 pm, 2:30 – 3:30 pm • and by appointment

  2. Course Objectives Refresh your command of • Macroeconomic terminology  eco-talk • Macro Facts • Schools of thought

  3. Course Objectives • Master MODELS • Demand Side Models  AD • Multiplier • IS – LM • Supply Side Models  AS • Wage setting – Price setting • Phillips Curve • Role of Expectations … in theory and in practice • Stabilizing an Unstable Economy • Understanding the financialcrisis and Slump • Revolution and evolution in macro-thought • Solow GrowthModel

  4. Macro – variables: Real and Nominal • Output … Real GDP… Growth Rate Employment – Unemployment • Wage level – Price level Inflation … CPI, GDP Deflator • Interest rates Macro Time Frames • Short-run … sticky price • Medium-run … price adjusts • Long-run … economic growth

  5. Macro Facts: Recession and Slump The Long Slump

  6. Volcker Disinflation Volcker Disinflation Great Recession Great Recession Great Recession Oil Shock Oil Shock Oil Shock Natural rate from CBO based on demographics & changing labor market institutions, e.g., temporary employment. Natural Rate

  7. The Manipulated and Understated LIBOR Federal Funds Rate London Interbank Offer Rate (LIBOR)

  8. Macro Facts: Deflation Threat Over???

  9. Macro Facts: Federal Debt

  10. Americans Do Debt Household mortgages Federal Gov’t Business debt Total Debt Non-Financial Sectors Consumer credit

  11. Macro Facts: Bank Excess Reserves

  12. Macro Facts: Bank Excess Reserves

  13. M1/Monetary Base=M1/(Currency + Reserves)

  14. Macro Facts: Trade Deficit, Goods & Services Imports Exports

  15. Major currencies/$ Broad basket of currencies/$

  16. Where to Find the Numbers • http://research.stlouisfed.org/fred2/ • www.bls.gov/data/ • www.economist.com • www.bea.doc.gov • http://www.gpoaccess.gov/eop/ • www.oecd.org

  17. Macroeconomics The course is divided in three parts: Short -run / Medium-run / Long-run Short – run (sticky price): IS / LM  AD LM: (M/P)d = (M/P)s (M/P)d = L(Y,i) Ms = [1/(c + r(1-c))]H = {money multiplier} x {monetary base} IS:Y = C + I + G C = c0 + c1 YD = c0 + c1 (Y - T) I = I0 + b1 Y - b2 i  Y = {spending multiplier} x {autonomous spending} Medium – run (flexible price): AD/AS IS/LM  AD PS/WS  AS PS: P = (1+ μ)(W/A) WS: W= Pe Ae f(u,z)  SRAS and MRAS • In medium - run, Pe = P  (W/P)WS = (W/P)PS = A / (1+ μ) • Natural/Structural/Equilibrium Rate of Unemployment (un ) • “Full - employment” rate of output (YFE)The Green Shaft When AD or AS shift: MR equilibrium  SR equilibrium P  new MR equilibrium Productivity and equilibrium rate of unemployment: Ae = A only in long - run  “Natural rate” decreases with unexpected increase in A Long – run (factor supplies change): Growth Steady state: s(Y/AN) = (δ + gN + gA )(K/AN) For simple Cobb-Douglas function: Y = Kα (AN)1-α Y/AN = {s/((δ + gN + gA )}α/(1-α) Golden - rule saving rate = α

  18. Americans Do Debt Household mortgages Federal Gov’t Business debt Consumer credit

More Related