ISCTE-IUL > Education > ME

Macroeconomics (2nd Clycle) (1 º Sem 2019/2020)

Code:	M8674
Acronym:	M8674
Level:	2nd Cycle
Basic:	No
Teaching Language(s):	English
Friendly languages:

Be English-friendly or any other language-friendly means that UC is taught in a language but can either of the following conditions:
1. There are support materials in English / other language;
2. There are exercises, tests and exams in English / other language;
3. There is a possibility to present written or oral work in English / other language.

Semester	ECTS Credits	Theoretical Lesson (T)	Theoretical and Pratical Lesson (TP)	Practical and laboratorial lesson (PL)	Seminary (S)	Field Work (TC)	Training Period (E)	Tutorial Orientation (OT)	Contact Hours	Autonomous Work	Others (O)	Total Load Hours [?]Contact Hours + Autonomous Work
1	6.0	0.0 h/sem	30.0 h/sem	0.0 h/sem	0.0 h/sem	0.0 h/sem	0.0 h/sem	1.0 h/sem	31.0 h/sem	119.0 h/sem	0.0 h/sem	150.0 h/sem


Since year	2018/2019
Pre-requisites	Some elementary knowledge of macroeconomics, microeconomics and calculus is recommended. However, the inexistence of that knowledge in micro and macroeconomics will not be a severe impediment to learning and developing skills at this particular course (as far as possible, the course intends to be self-contained).
Objectives	This course represents the first students' contact with macroeconomics at a more advanced level, after they have completed a bachelor degree. Generally speaking, students are expected to learn for the first time the fundamental techniques (mathematical and computational), the language, and the workhorse models which will allow them to be able to discuss modern macroeconomic problems at more advanced levels, either in other master courses, or in even at the PhD level.
Program	1.The current state of macro: a brief characterization 2.Stylized facts of the business cycles: major facts and techniques 3.Solution to models with rational expectations 4.The "Real Business Cycle Model" 5.Credibility and time consistency in economic policy 6.The optimal choice of policy instruments (the Poole model) 7.The New Keynesian Model: main functions 8.The New Keynesian Model: optimal monetary policy 9.Central Banks, credibility and the current financial crisis
Evaluation Method	The student can choose between two of the following options (A and B) Option A: It envolves three moments with evaluations: 1. Final test: 65% of the final grade 2. Group essay: 35% of the final grade Final grade = [0 , 20], approval granted if the final grade is equal or larger than 10. Option B: Considers only one moment of evaluation: Final Exam Final grade = [0 , 20], approval granted if the final grade is equal or larger than 10.
Teaching Method	In order to foster the acquisition of the specific skills related to this course, the following learning methodologies will be used: 1. Expositional: the presentation of theoretical reference frames 2. Participative: with analysis and resolution of problems 3. Active: the realization of individual tests 4. Self-study: autonomous work by each student, as contemplated in the planning of classes.
Observations
Basic Bibliographic	Given that this course represents the first students' contact with macroeconomics at a more advanced level, some care should be taken when choosing and providing bibliographic information to students. No textbook is explicitly adopted here. Instead we will make use of publicly available lecture notes, which will be provided topic by topic. The main reasons for this choice are: students save time; lecture notes are better "tailored" to each topic than just following a textbook; major available textbooks require a much lengthier course (not just a 30 hours course) to cover the topics discussed in this course. The detailed information about the readings for each topic of the syllabus above can be obtained in the course's web site at: www.cm.de.iscte.pt. Here you can find not only the required reading list, but also slides, problem sets, solutions and many routines for Matlab (m-files).
Complementar Bibliographic	For those students who want to take a higher step on the issues discussed in this course, the following textbooks are recommended: 1.David Romer (2012). Advanced Macroeconomics, 4th edition, McGraw-Hill, New York 2.Michael Wickens (2012). Macroeconomic Theory:A Dynamic General Equilibrium Approach, 2nd edition, Princeton University Press 3.Jean-Pascal Bénassy (2011). Macroeconomic Theory, Oxford University Press, Oxford. 4.Lars Ljungqvist and Tom Sargent (2012). Recursive Macroeconomic Theory, 3rd edition, MIT Press For those that do not have a sound background in macroeconomics, the following textbooks may be of significant help: 1.Stephen Williamson (2011), Macroeconomics, 4th edition, Pearson Addison-Wesley, Boston 2.Charles I. Jones (2011). Macroeconomics, 2nd edition, W.W. Norton, New York.