Macroeconomics II

COURSE OBJECTIVE

ACADEMIC AND RESEARCH SKILLS You can identify strengths and limitations of academic research on the macroeconomic effects of fiscal policies.

BRIDGING THEORY AND PRACTICE - Knowledge You demonstrate empirical and theoretical knowledge concerning the macroeconomic effects of fiscal policies.

BRIDGING THEORY AND PRACTICE- Application You can provide an analysis of the macroeconomic consequences of a real-world fiscal policy proposal based on existing theoretical and empirical academic findings.

PROFESSIONAL SOCIAL SKILLS You can professionally present your analysis of a real-world fiscal policy proposal to policy makers.

BROADENING YOUR HORIZON You can develop and defend a position on a real-world fiscal policy proposal based on its social implications.

SELF-AWARENESS You can describe what you would like to understand better about the macroeconomic effects of fiscal policies.

COURSE CONTENT
In recent years, policy makers in Europe and around the world have been confronted with decisions about fiscal policy that raise important questions. Was fiscal austerity necessary or misguided? Is fiscal stimulus actually effective in recessions? Are current levels of government too high or is this the time for more public investment? Do tax cuts boost growth? What policy makers believe the answer to these questions to be will shape macroeconomic policy in the future, and become especially critical when the next recession strikes.

In this course we will put ourselves in the shoes of policy consultants. We will start by reflecting on what you have already learned about these questions in your previous courses. We will then dig more deeply into the existing empirical and theoretical research by macroeconomists relevant for these questions, reflect on how convincing this research is, and use these findings from this research to analyze the likely consequences of a current real-world policy proposal.

TEACHING METHODS
The course uses a flipped classroom approach. This means that we do not use traditional lectures in the class meetings. Rather, we provide readings, videos, exercises and writing assignments which you use to prepare for class meetings. Most of the time in class meetings is devoted to interactive activities, discussions, and presentations. Each week there is one meeting with the entire class, one workgroup taught by the instructor, and one workgroup taught by a teaching assistant.

TYPE OF ASSESSMENT
Written exam - individual assessment.
Regular assignments - individual assessment.
Policy brief - group assessment.

RECOMMENDED BACKGROUND KNOWLEDGE
Quantitative Research Methods I, Microeconomics I, Macroeconomics I