Macroeconomics explores the intricate workings of large-scale economic systems, encompassing crucial topics that underpin our global economy. This course will examine the measurement of economic performance through Gross Domestic Product (GDP), assess economic growth and its components, explain unemployment, analyze inflation, and scrutinize international trade and monetary policies.

These insights will enhance your analytical skills and deepen your comprehension of the real-world impact of these concepts. This course establishes a solid foundation for confidently navigating the complexities of the modern economic landscape, providing you with valuable knowledge to make well-informed decisions in both your personal and professional life while contributing to informed policy discussions in our ever-evolving world.

Learning Objectives and Outcomes:

By the end of this course students will be able to:

• Apply the key macroeconomic indicators to interpret economic performance and trends effectively.
• Explain the impact of international trade and monetary policies on economic systems.
• Recognize appropriate macroeconomic concepts for personal financial management and policy discussions.

Course Schedule and Topics

This course will cover the following topics in eight learning sessions, with one Unit per week. The Final Exam will take place during Week/Unit 9 (UoPeople time).

Week 1: Unit 1 – Macroeconomic Fundamentals

Week 2: Unit 2 – Unemployment and Inflation

Week 3: Unit 3 – Aggregate Demand and Supply

Week 4: Unit 4 – Macroeconomic Policy Perspectives

Week 5: Unit 5 – Money, Banking, and Monetary Policy

Week 6: Unit 6 – Fiscal Policy and Government Borrowing

Week 7: Unit 7 – International Trade and Finance

Week 8: Unit 8 – International Trade, Globalization, and Protectionism

Week 9: Unit 9 – Course Review and Final Exam

Learning Guide

The following outlines how this course will be conducted, with suggested best practices for students.

Week 1: Unit 1 –  Macroeconomic Fundamentals

• By the end of this Unit, you will be able to:
• Explain the significance of Gross Domestic Product (GDP) as a measure of a country’s economic activity.
• Identify the key factors that contribute to economic growth.
• Examine the concept of economic convergence and its implications for global economies.

Week 2: Unit 2 – Unemployment and Inflation

• Describe types of unemployment and their measurement.
• Explain the methods used to measure changes in the cost of living and track inflation.
• Illustrate the relationship between inflation and indexing, and its impact on economic stability.

Week 3: Unit 3 – Aggregate Demand and Supply

• Describe the Aggregate Demand/Aggregate Supply (AD/AS) model and its relevance in macroeconomic analysis.
• Identify and explain the factors that lead to shifts in aggregate supply and demand.
• Interpret how the AD/AS model incorporates economic growth, unemployment, and inflation.

Week 4: Unit 4 – Macroeconomic Policy Perspectives

• Compare and contrast the Keynesian and Neoclassical perspectives in macroeconomic analysis.
• Analyze the Phillips Curve and its implications for economic policy.
• Discuss how market forces operate within the Keynesian perspective.

Week 5: Unit 5 – Money, Banking, and Monetary Policy

• Define the functions of money and explain the measurements of money supply.
• Outline the role of banks in the creation of money and their importance in the economy.
• Explain the role of central banks and the execution of monetary policy in managing economic outcomes.

Week 6: Unit 6 – Fiscal Policy and Government Borrowing

• Examine the components of government budgets, including government spending and taxation.
• Illustrate the impact of fiscal policy on addressing economic challenges such as recession, unemployment, and inflation.
• Examine the implications of government borrowing on investment, trade balances, and economic growth.

Week 7: Unit 7 – International Trade and Finance

• Assess the components of trade balances and their significance in international trade.
• Explain the functioning of foreign exchange markets and how exchange rates affect economies.
• Examine the macroeconomic effects of exchange rates and the policies that influence them.

Week 8: Unit 8 – International Trade, Globalization, and Protectionism

• Discuss the concepts of absolute and comparative advantage in international trade.
• Explain the effects of reducing barriers to international trade on economies.
• Analyze the arguments for and against restricting imports and the tradeoffs involved in trade policy decisions.

Week 9: Unit 9 – Course Review and Final Exam