ECON1002 – MACROECONOMICS
Introduction to
the Course
Welcome to Introduction to Macroeconomics (ECON1002).
This course will be built up from simple Macroeconomics
principles you may have gathered from your everyday
experiences of living in a consumer society. So, if you
have not formally studied Macroeconomics before, that is
okay.
This course is a first level one-semester course. It is
intended as an initial introduction to the study of
Macroeconomics. It is designed as an introductory course
so there are no formal prerequisites. However, it is
assumed that students are proficient in basic arithmetic
and algebra to the CSEC (CXC) or O-level, and are able
to draw and interpret simple graphs. The course is also
appropriate for students who need to familiarize
themselves with the language of macro-economics and its
basic concepts.
Course Overview
Even if this is your first formal study of
Macroeconomics, it is safe to say that many times in
your life you have been involved in activities which are
at the core of the study of Macroeconomics. For
instance, your constant purchasing of consumer items
that are manufactured overseas affect your country’s
foreign exchange reserves and, consequently, its overall
balance of payments position. Purchasing overseas items
also involves the country in international trade. Both
international trade and the balance of payments are
topics at the core of Macroeconomics.
In
Macroeconomics, the unit of analysis, or the focus of
attention is a country’s economy, and how certain broad
aggregates within the economy are related. Throughout
this course, you will encounter simple algebraic
expressions that are used to demonstrate a number of
economic principles. Hence, it is to your advantage that
you be able to formulate and interpret these
expressions, and be able to construct and understand
simple graphs.
As
you encounter these simple mathematical techniques, keep
reminding yourself that these are merely vehicles being
employed to assist and enhance your understanding of
certain economic behaviours. Hence, it is to your
advantage to pay attention first to the economic
behaviour, and after understanding it then work on
expressing it mathematically where necessary.
Course Objectives
The objectives of the course are to:
·
Introduce
students to the content, methods and techniques of
macroeconomic analysis.
·
Acquaint
students with the distinctive features of a small open
economy.
·
Expose
students to contemporary issues in macroeconomics
analysis and policy.
Course Content
This course consists of ten units.
Unit 1 - Overview of
Macroeconomic Concepts
Unit 2 - National
Income Accounting
Unit 3 - Modelling the
Economy
Unit 4 - Money and the
Economy
Unit 5 - Inflation
Unit 6 - Balance of
Payment Accounting
Unit 7 - International
Trade
Unit 8 - Multipliers
Unit 9 - Some Aspects
of a Small Open Economy
Unit 10 - Role of Government in the Economy
You may be a little uncertain about your ability to
successfully complete the course, but don’t be too
worried. Once you get over your initial apprehension,
you will find that the skills you need are not very
difficult to acquire.
Although this course has been written in a logical
sequence, if you find any unit difficult in grasping the
concepts the first time, carry on and go back to it
later. If you have not studied Macroeconomics before you
may not be used to the idea that some difficult concepts
cannot be grasped immediately and may need working on
until the idea clicks in your head.
Best of luck and enjoy
the course.
