Advanced Macroeconomics
Module code: EC3001
Module co-ordinator: Dr Dimitrios Varvarigos
Description
Macroeconomics is the branch of economics that concentrates on the behaviour of the economy as a whole (i.e., aggregate consumption, total production, aggregate employment) and evaluates its overall performance in terms of inflation, growth rate of per capita GDP, and unemployment. In this course, we focus on the issue of economic growth. Particularly, we try to identify the underlying forces that can support ever increasing levels of per capita GDP.
Such knowledge is important because it facilitates us in gaining a better insight on the fundamental characteristics that cause significant differences in prosperity among nations. Furthermore, it offers tools through which we can design and evaluate policies targeted at achieving higher GDP growth in less-developed countries, thus mitigating the inequalities between rich and poor nations. For example, a policy-relevant question that can be addressed by gaining a thorough knowledge of the issues analysed in the course is “In a poor country with only 3% of US per capita GDP, which policies can facilitate a steady increase of income per capita to reach 50% of US GDP after some years?”.
Topics Covered
- Basic economic models of capital accumulation and growth.
- Economic growth through technological progress.
- Endogenous growth theory, with emphasis on human capital and innovation through R&D.
- Economic growth and environmental quality.
- The overlapping generations model.
Learning
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20 one hour lectures
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5 one hour tutorials
Assessment
The module is worth 15 credits towards your second year assessment. This module will be assessed by the following:
- Coursework (a group essay) (20%)
- A one-and-a-half hour examination at the end of the semester (80%)