Revised: 03/12/2014

INTI INTERNATIONAL UNIVERSITY

COURSE STRUCTURE
COURSE:

ECO152 INTRODUCTION TO MACROECONOMICS (3 cr.)

PREREQUISITE:
None
COURSE DESCRIPTION:
This course provides a general understanding of macroeconomic concepts, principles and theories and their
application to major economic issues and institutions. Emphasis is placed on applications and policies. Topics
include national income, unemployment, inflation, growth, behavior of money and prices, and also the short
run and long run behavior of the economy.
LEARNING OBJECTIVE:
The aim of the course is to enable students to:
1. obtain an introductory grounding in the principles and concepts of macroeconomic analysis.
LEARNING OUTCOMES:
Successful students will be able to:
1. demonstrate a basic understanding of the macroeconomic environment
2. explain the basic argument behind major controversies in macroeconomics
3. demonstrate an understanding of the aims, methods and effectiveness of macroeconomic policy
4. distinguish between alternative theoretical explanations of macroeconomic phenomena
5. contribute to discussions and solve numerical and logical problems contained within introductory
economic theory
COURSE FORMAT:
Total Student Learning Time (SLT) (L = Lecture; T = Tutorial; P = Practical; O = Others) :
Face - to - Face
L
T
P
O
24 13
0
7

Guided & Independent Learning (hr)

Total Student Learning Time (hr)

85

129

STUDENT EVALUATION:
Tests: 20; Quizzes: 20%; Individual Assignment: 15%; Group Assignment: 15%; Final Examination: 30%
FINAL EXAMINATION FORMAT:
Duration: 2 hours
Section A: FORTY (40) multiple choice questions. (40 marks)
Section B: Short question. Answer any THREE out of FIVE questions. (60 marks)
GRADING SCALE:
A+ (96% 100%), A (90% 95%), A- (86% 89%), B+ (82% 85%), B (78% 81%), B- (74% 77%),
C+ (70% 73%), C (65% 69%), C- (60% 64%), D+ (55% 59%), D (50% 54%), F (Below 50%)
BASIC TEXT(S):
1. Mankiw, Gregory, N., Principles of Economics 4th ed., Ohio: South Western Pub., 2007.
REFERENCES :
1. Lipsey, T.S. Ragan, & Storer, Economics, 13th ed., Pearson Addison-Wesley, 2007.
2. Case, K.E., and Fair, R.C., Principle of Macroeconomics, 8 th ed., New Jersey Prentice Hall, Inc. 2007
3. McConnel, C.R., Economics: Principles, Problems and Policies, 16 th ed, McGraw-Hill Book Co., 2005.
4. Parkin, M., Economics, 8th ed, Pearson Addison-Wesley, 2008.
5. Samuelson, Paul A. & William D. Nordhaus, Economics, 18th ed., McGraw-Hill/Irwin, 2004.

CLASS SYLLABUS:
Lecture(s)
Topic
1-4
MEASURING NATIONS INCOME

AUP: ECO152 INTRODUCTION TO MACROECONOMICS

Page 1 of 2

Revised: 01/12/2010

5-6
7-8
9-14
15-16
17-18

19-20
21-24

25-28

The Economys Income and Expenditure. The Measurement of Gross Domestic Product.
The Components of GDP. Real versus Nominal GDP. GDP and Economic Well-Being.
MEASURING THE COST OF LIVING
The Consumer Price Index. Correcting Economic Variables for the Effects of Inflation
NATURAL RATE OF UNEMPLOYMENT
Identifying Unemployment. Job Search. Minimum-Wage Laws. Unions and Collective
Bargaining. The Theory of Efficiency Wages.
THE MONETARY SYSTEM
The Meaning of Money. The Federal Reserve System. Banks and the Money Supply.
MONEY GROWTH AND INFLATION
The Classical Theory of Inflation. The Costs of Inflation.
OPEN ECONOMY MACROECONOMICS : BASIC CONCEPTS
The International Flows of Goods and Capital, The Prices for International Transactions:
Real and Nominal Exchange Rates. A First Theory of Exchange-Rate Determination:
Purchasing Power Parity.
AGGREGATE DEMAND AND AGGREGATE SUPPLY
Explaining Short Run Fluctuations. The Aggregate Demand Curve. The Aggregate Supply
Curve. Two Causes of Economic Fluctuations.
THE INFLUENCE OF MONETARY AND FISCAL POLICY ON AGGREGATE
DEMAND
How Monetary Policy Influences Aggregate Demand? How Fiscal Policy Influences
Aggregate Demand? Using Policy to Stabilize the Economy.
THE SHORT-RUN TRADEOFF BETWEEN INFLATION AND UNEMPLOYMENT
Final Examination

AUP: ECO152 INTRODUCTION TO MACROECONOMICS

Page 2 of 2