After successful completion of the course, students are able to ...

• list empirical relationships between macroeconomic key variables such as real GDP, unemployment, inflation, and, nominal interest rates;
• set up and solve basic micro-founded macroeconomic models;
• use the models to explain the empirical relationships with economic intuition;
• use the models to analyze the effects of exogenous shocks as well as fiscal and monetary policies qualitatively and quantitatively.

1. Introduction
2. Measurement
3. A Static Real Macroeconomic Model
4. Intertemporal Decisions: Consumption and Savings
5. A Dynamic Real Macroeconomic Model
6. A Dynamic Macroeconomic Model with Flexible Prices
7. Nominal Rigidities and Keynesian Economics
8. Economic Growth

• This is an interactive course and students have to be ready to work actively.
• Presentation and interpretation of empirical relationships.
• Rigorous exposition of theoretical models with algebraic and graphical means.
• Self-study, i.e., autonomous work by students on all material covered in class.

>> The preparatory meeting takes place during the first lecture of 105.606 Macroeconomics for WM.

indepedent solution of problem sets and presentation at the blackboard

Olivier Blanchard und Gerhard Illing, Makroökonomie, 7., aktualisierte und erweiterte Auflage, Pearson Studium, 2017

• 105.605 Microeconomics for WM (VO)
• 105.607 Microeconomics for WM (UE)