Detailed Syllabus for Macroeconomics-I for MSc Economics

5 Year Integrated Msc in Economics

School of Social Sciences,

Department of Economics

Macroeconomics-I

Course Teacher: Siba Sankar Mohanty

The main aim of this course is to cover the main paradigms involved in the determination of real income, employment and unemployment, the price level and inflation in an open mixed economy, and the conduct of macroeconomic policy. Open economy will be dealt in Macroeconomics-II Course

Evaluation Process

Written Examination (Unseen): 80 marks (Midsem 30 marks+endsem 50 marks)

Assignments, Attendance, performance in class and seminars: 20 marks

Topics to be covered

Part-1

Introduction to Micro foundations in  Macroeconomics, Basic concepts and principles, Issue of interdependence,  Market forces and elasticities, Government Policies, Markets and welfare

National Income Accounts,

Consumption Function and Investment

Macroeconomic Coordination Process

Goods market Equilibrium -IS Curve

Part-2

Money and Banking:

Introduction to the role of money, demand for and supply of money

The quantity theory of money,

The liquidity preference approach,

Introduction to role of commercial banks and the supply of money, money multipliers,

Central banks and monetary policy

Equilibrium in the money market (LM).

General Equilibrium: the IS-LM model, monetary and fiscal policies in a closed economy.

Basic Text Book

Mankiw, N.G. Macroeconomics. (Worth), 5^th ed (I have 5^th edition to prepare myself for the class, If you are planning to buy this book, go for the most recent edition)

Books Recommended

Blanchard, O. Macroeconomics. (Prentice Hall)

Dornbusch, R., S. Fischer and R. Startz, Macroeconomics. (McGraw-Hill)