Monash University Handbook 2010 Undergraduate - Unit

Synopsis

Keynesian macroeconomics; the open-economy, IS-LM framework and the aggregate demand-aggregate supply framework as a basis for more advanced macroeconomic analysis; principles of monetary and fiscal policy and problems of implementation; alternative theories of aggregate supply; new classical macroeconomics and the implications of imperfect information; new Keynesian macroeconomics and the implications of labour market rigidities; explaining and correcting inflation and unemployment.

Objectives

The learning goals associated with this unit are to:

• analyse systematically the forces that determine changes in macroeconomic performance and living standards in Australia
• understand the relationship between the domestic economy and the international economic environment, as reflected in the behaviour of the balance of payments and exchange rates
• appraise critically the issues underlying important contemporary policy debates in Australia and elsewhere
• appreciate the nature and relevance of some significant recent developments in macroeconomics
• engage in rigorous economic analysis.

Assessment

Within semester assessment: 20%
Examination (2 hours): 80%

Chief examiner(s)

Siew Ling Yew

Contact hours

Two 1-hour lectures and one 1-hour tutorial

Prerequisites

ECC1100 or ECC2100

Prohibitions

ECC2010, ECC9010