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Macroeconomics

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Table of Contents
1 GDP:Measuring Total Output and Total Income
Learning Objective
Key Points and Exercises
1.1 What is macroeconomics?
1.2 Measurement of GDP
1.3 The three approaches to measuring GDP
1.4 Real GDP and nominal GDP
1.5 Other measures of total production and total income
1.6 The limitations of real GDP
Case Study
Terms and Concepts
Problems and Applications
Answers to Problems and Applications
2 Unemployment and Inflation
Learning Objective
Key Points and Exercises
2.1 Measurement of unemployment
2.2 Types of unemployment
2.3 What factors determine the employment rate?
2.4 Economic cost of unemployment
2.5 Measures of price level:CPI and PPI
2.6 Correcting economic variables for the effects of inflation
2.7 The effect of inflation
Case Study
Terms and Concepts
Problems and Applications
Answers to Problems and Applications
3 Economic Growth,the Financial System,and Business Cycles
Learning Objective
Key Points and Exercises
3.1 Long-run economic growth
3.2 Saving,investment,and the financial system
3.3 The business cycle
Case Study
Terms and Concepts
Problems and Applications
Answers to Problems and Applications
4 Long Run Economic Growth
Learning Objective
Key Points and Exercises
4.1 Economic growth over time and around the world
4.2 What determines economic growth?
4.3 Economic growth policies
Case Study
Terms and Concepts
Problems and Applications
Answers to Problems and Applications
5 Determining the Level of Aggregate Expenditure in the Economy
Learning Objective
Key Points and Exercises
5.1 An introduction to the aggregate expenditure model
5.2 Aggregate expenditure
5.3 The determinants of the four components of aggregate expenditure
5.4 Graphing macroeconomic equilibrium
5.5 The algebra of macroeconomic equilibrium
5.6 The multiplier
Case Study
Terms and Concepts
Problems and Applications
Answers to Problems and Applications
6 The IS-LM Model
Learning Objective
Key Points and Exercises
6.1 What is the IS-LM model?
6.2 The simple aggregate expenditure model
6.3 The goods market and the IS curve
6.4 The money market and the LM curve
6.5 The short-run equilibrium
6.6 Explaining the fluctuations with the IS-LM model
6.7 Summary of the IS-LM model
Case Study
Terms and Concepts
Problems and Applications
Answers to Problems and Applications
7 Aggregate Demand and Aggregate Supply Analysis
Learning Objective
Key Points and Exercises
7.1 The aggregate demand and aggregate supply model
7.2 Why is the aggregate demand curve downward sloping?
7.3 From the IS-LM model to the AD curve
7.4 Shifts of the aggregate demand curve vs.movements along it
7.5 What causes the aggregate demand curve to shift?
7.6 The aggregate supply curve
7.7 Macroeconomic equilibrium in the long run and the short run
7.8 Two extreme supply cases — Keynesian and classical
7.9 Supply - side economics
Case Study
Terms and Concepts
Problems and Applications
Answers to Problems and Applications
8 Monetary System and Money Growth
Learning Objective
Key Points and Exercises
8.1 The meaning of money
8.2 How to measure money
8.3 Money supply
8.4 The role of banks
8.5 How does the central banks manage the money supply?
8.6 The quantity theory of money
Case Study
Terms and Concepts
Problems and Applications
Answers to Problems and Applications
9 Monetary Policy
Learning Objective
Key Points and Exercises
9.1 What is monetary policy?
9.2 The money market and its equilibrium
9.3 How monetary policy influences aggregate demand
9.4 The Taylor rule
Case Study
Terms and Concepts
Problems and Applications
Answers to Problems and Applications
10 Fiscal Policy
Learning Objective
Key Points and Exercises
10.1 What is fiscal policy?
10.2
Macroeconomics
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