Curricular Unit:Code:
Macroeconomics1175MAC
Year:Level:Course:Credits:
1UndergraduateBusiness Sciences8 ects
Learning Period:Language of Instruction:Total Hours:
Spring SemesterPortuguese/English104
Learning Outcomes of the Curricular Unit:
The curricular unit aims to observe how fundamental macroeconomic variables relate, how national output is measured, and how the AD-AS model operates. By the end of the semester, students should have a firm grasp of the fundamental rationale for both classical and Keynesian approaches to the goods and services markets, the money market, and the labor market, as well as the ability to conduct a critical analysis of macroeconomic policy's most significant effects. The following skills are emphasized: specific knowledge of macroeconomics; information analysis and synthesis; problem solving; interdisciplinary communication; capacity for developing complex arguments with supporting evidence; autonomy in work; ability to analyze fundamental economic data from Portugal and Europe.
Syllabus:
0. Introduction – concepts and objectives
1. Macroeconomics and the National Accounts
1.1. The circular flow of income
1.2. Fundamental Identities
1.2.1. Production approach
1.2.2. Income approach
1.2.3. Expenditure approach
2. The aggregate demand and the aggregate supply
2.1. The determinants of aggregate demand
2.2. The determinants of aggregate supply
2.3. Movements along the curves and shifts of the curves
3. The classical perspective on Macroeconomics
3.1. Basic assumptions
3.2. The goods and services market
3.3. The labour market
3.4. The capital market
3.5 The overall balance
4. The Keynesian Macroeconomics in perspective
4.1. The consumption and savings function
4.2. The investment function
4.3. The governmental sector
4.4 The external sector
4.5 Analytical deduction of the model
4.6 The fiscal variables and the multiplier
5. Conclusions
Demonstration of the Syllabus Coherence with the Curricular Unit's Objectives:
The course is designed to provide students with an understanding of macroeconomic system dynamics from both classical and keynesian perspectives. The contents begin by clarifying the relationship between circular income flows, national accounts, and macroeconomic models. Within this framework, students learn the basic concepts of national account measurement, leading to an understanding of the fundamental macroeconomic identity that underpins fiscal policy in contemporary economies. The macroeconomic system is then observed graphically through the AD and AS curves. The equilibriums that are produced are examined from both a classical and a Keynesian approach.
Teaching Methodologies (Including Evaluation):
The teaching methodology combines the theoretical presentation of concepts with measurements and models. These tools aid in the understanding of macroeconomic system dynamics by clarifying how markets interact and how macroeconomic aggregates are produced as a result. All subjects are presented graphically, analytically, and via exercises. Practical examples of current macroeconomic performance are also used throughout the course, with a special focus on the European and Portuguese economies. Evaluation is based on two intermediate tests (50% each) or a final exam.
Demonstration of the Coherence between the Teaching Methodologies and the Learning Outcomes:
The methodology blends theoretical presentation with graphical analysis and deductive examination of macroeconomic models. Along with the theoretical presentation, items 1 to 3 emphasize graphical analysis and the estimation of aggregates, while item 4 emphasizes graphical analysis and analytical deduction of multipliers. Students are asked to solve macroeconomic problems throughout the course. Alongside problem solving, the practical application of knowledge is also established through the use of examples from the current macroeconomic performance of countries, with a special emphasis on the European and Portuguese economies.
Reading:
Dornbusch, R. e Fischer, S. (1994). “Macroeconomia”. Boston: McGraw-Hill.
Erbschloe, M. (2017). "Principles of Macroeconomics". Salem Press Encyclopedia. [B-on]
Krugman, P. e Wells, R. (2018). "Economics", 5/e. NY: Worth Publishers.
McDonald, J. F (2022). "Rethinking Macroeconomics. A History of economic thought perspective." NY: Routledge.
Mankiw, N. G. e Taylor, M. P. (2017). “Economics.” Hampshire: Cengage Learning.
Mankiw, N. G. (2008). “Introdução à Economia.” S. Paulo: Cengage Learning. Pinho, M. (2018). “Macroeconomia – Teoria e Prática Simplificada.” Lisboa: Sílabo. Samuelson, P. e Nordhaus, D. (2005). “Macroeconomia.” Lisboa: McGraw Hill
Pereira, P. T. e Afonso, A. e Arcanjo, M. e Santos, J.C. (2016 ). "Economia e Finanças Públicas", 5/e. Lisboa: Escolar Editora.
Pinho, M. (2018 ). "Macroeconomia – Teoria e Prática Simplificada", 2/e. Lisboa: Edições Sílabo.
Samuelson, P. and Nordhaus, D. (2011). "Economics", 19/e. NY: McGraw Hill.
Lecturer (* Responsible):
Luísa Vasconcelos (lvasc@ufp.edu.pt)