Macroeconomics (MSB111)

Facts about economic aggregates and macroeconomic models. Particular attention is given to:

• Economic growth and business cycles
• Monetary policy
• The current account of the balance of payments
• Employment and unemployment
• Exchange rates
• Economic effects of government budgets
• Financial crises

Throughout the course, continuous reference will be made to historical and current macroeconomic phenomena, from both a global perspective and with a special focus on Norway.

Upon completion of the course, the student should be able to:

Knowledge and understanding

• Understand basic macroeconomic models off economic growth, business cycle fluctuations, exchange rates, employment and unemployment, inflation, budget deficits, and national debt.

Skills and abilities

• Be able to describe the above-mentioned models and derive their implications;
• Be able to apply basic macroeconomic models to phenomena such as economic growth, current accounts, employment, exchange rates, business cycle fluctuations, monetary policy, and budget deficits.

Judgement and approach

• Understand how to use various simplified models to analyse different problems;
• Be able to assess the feasibility of the assumptions behind different models, as well as their limitations;
• Be able to assess whether the implications of a model are more or less factually accurate;
• Be able to assess the feasibility of macroeconomic arguments in the public debate.

Instruction is given in the form of lectures and group exercises/seminars.

Assessment: The course is examined on the basis of a written examination. Students may be awarded examination credits through partial examination consisting of voluntary written assignments during the course.