Macroeconomics

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Introduction to Aggregate Economic Analysis

Macroeconomics focuses on the large-scale aggregate of the economy. Explore the measurement of economic variables including gross domestic product (GDP), national unemployment, and price indices.

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Definition of Macroeconomics

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GDP

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Unemployment

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Nominal vs. Real Values

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Money

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Macroeconomic Equilibrium

Macroeconomic equilibrium balances aggregate supply with aggregate demand. Begin with an understanding of short-run aggregate employment and the labor market. Apply an understanding of Classical and Keynesian models of macroeconomic adjustment. Analyze short- and long-run aggregate supply and short- and long-run aggregate demand.

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Full Employment and Underemployment

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Full employment

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Underemployment

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Classical Approach to Macroeconomics

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Keynesian Approach to Macroeconomics

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Aggregate Demand and Aggregate Supply

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Aggregate demand

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Aggregate supply

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The Financial Sector

We spend and save money every day, but how does monetary policy really work on a larger scale? Explore money supply and money demand to understand the different systems that influence money in the economy, such as banking and money creation. Discover the role of the central bank and Federal Reserve in setting monetary policy.

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The Money Market

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Quantity Theory of Money and Inflation

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Fractional Banking and Money Creation

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The Loanable Funds Market

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Open Economy

No country's economy is truly isolated. Understand how an open economy interacts economically with the rest of the world and how the foreign exchange market works. Apply previously learned concepts to a global model.

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Globalization

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Exchange Rates

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Economic Growth and the Long Run

Economic growth is a major indicator of the health and success of a country. Examine how economic growth occurs based on multiple factors, including standard of living and investment in human capital. Describe growth using several growth models.

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Sources of Economic Growth

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Growth Models

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Solow Growth Model

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Short-Run Stabilization

A frequent function of government is to implement public economic policy to ensure economic stability, including both low unemployment and low inflation. Determine the impacts of fiscal and monetary policies on the economy and analyze economic stability using several methods, including AS-AD and IS-LM models.

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IS-LM Model

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AD-AS Model

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Fiscal Policy

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Monetary Policy

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Phillips Curve

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Special Topics

Economic topics have been a key player in current events. Explore recent economic history in this theme of special topics. Understand the 2007 recession, monetary policy in the years following, and unemployment in general in this modern century.

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2007 Recession

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Monetary Policy in the 2009-15 Period

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Unemployment in the 21st Century

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Microeconomic Foundations of Macro Models

Apply knowledge of microeconomic principles to models of aggregate economic systems. Explore more in depth the IS and LM curves and how they relate to aggregate demand and supply.

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Savings, Investment, and IS-Curve

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Money and the LM-Curve

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IS-LM and the Aggregate Demand curve

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The Labor Market and the Aggregate Supply curve

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