Macroeconomic Theory

Introduction

Nathaniel Cline

Agenda

1

Introductions

2

Course overview

3

Macroeconomic Issues

4

Review and to do

Course Website

https://macrotheory23.netlify.app/

About me

Prof. Cline, Dr. Cline, or Nate

  • Born and raised in MD just outside of DC
  • PhD in Economics from the University of Utah
  • Research interests in macroeconomics, international political economy, and childcare
  • In my spare time I make furniture with handtools!

Contacting


nathaniel_cline@redlands.edu


Schedule an appointment or drop by my office T, Th 3pm - 4pm.


Office: Duke 201

About You


  1. Name

  2. Major/emphasis

  3. What ridiculous thing would you buy?

Course Materials

Previous textbook was Blanchard, Macroeconomics


No more!


Now we rely on lecture notes and readings.

Device Policy


  • You will not need a laptop or smartphone to participate in this class.

  • If you believe that taking notes on a laptop will help you take accurate notes, you may use one in class. If the laptop will be distracting for you, I advise you do not use it.

  • If laptop use becomes a problem for you or others around you in class, I will invite you to my office to discuss this.

Attendance


  • attendance and participation are important for a mastery of the course material.

  • However, I understand that life circumstances can prevent students from being able to attend every class.

  • I have set aside 3 excused absences for all students to use

In the event that you need more I will ask you to meet with me.

Homeworks


Homework assignments will have both traditional problem set exercises and data exercises.


You can find them on both the materials and schedule pages.

Assignment grading

Final Grade Average Problem Grade
100% 91–100%
90% 86-90%
85% 80-85%
75% 71-79%
70% 61-70%
0% 0-60%

Problem Set and Notetaking Groups


  • I will ask that you form groups of 3-4 for problem sets.


  • These groups will also be used for getting notes if you are absent

Exams


  • two midterms that cover the first 2/3rds of the course

  • final exam is comprehensive

  • schedule for all exams can be found on the schedule page

Grading

Course Outline

Introduction and Data

Goods Markets

Financial Markets

The Business Cycle

Policy Debates

How does macroeconomics differ from microeconomics?

In macro we work with aggregates

Fallacy of Composition

Fallacy of Composition

Fallacy of Composition:
The whole is different than the sum of the parts

Correlation across markets

Macroeconomics is about policy

Targets

Debates



  • Output

  • Unemployment

  • Inflation

  • Economic growth

  • Balance of payments




  • Level

  • Priority

  • Tools

Real GDP

Business cycle phases

Economic growth

Unemployment


Labor force = Employed + Unemployed


Unemployment rate = Unemployed/Labor Force


People who are neither employed or unemployed are not part of the labor force

Unemployment

Review

1

Introductions

2

Course overview

3

Macroeconomic Issues

To Do

1

Measuring the Economy, p.1-6;

GDP: A Brief but Affectionate History, ch 1;

:::

::: {.fragment .fade-in-then-semi-out} ::: {.absolute top=“400” left=“0”} ::: circle-orange 2 ::: :::

Assignment 1: Find a pop macro source

Econ 351 - Macroeconomic Theory