100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Class notes Macro economics and Economic Policy (HBA16C) Macroeconomics, Global Edition $6.45   Add to cart

Class notes

Class notes Macro economics and Economic Policy (HBA16C) Macroeconomics, Global Edition

 22 views  0 purchase
  • Course
  • Institution
  • Book

A class note for macroeconomics 2nd year of Bachelor of Business Administration, BBA, KU Leuven. Got 14/20, if wondering.

Preview 3 out of 23  pages

  • August 18, 2023
  • 23
  • 2022/2023
  • Class notes
  • Verbeke tom
  • All classes
avatar-seller
Macro-Economics and Economic Policy [HBA16c] Notes of 2022-2023
Chapter 0: Module 0
- 6 modules
- Course material: Oliver Blanchard and David R. Johnson. Macroeconomics: Global edition. 8th
edition, Pearson
- Exam
o MCQs of 48 questions
o Starts at -8 for guess correction
o 4 options
o To pass need 28/48
- Module 2 is the most important part of the course

,Chapter 1: A tour of the world (Module 1)

- Macroeconomists look at and study:
o Output growth
o Unemployment rate
o Inflation rate
o Monetary policy
o Fiscal or budgetary policy
- Multiple crises in the recent decades
o The 2008 banking crisis
o 2012-2013 Greece
o 2020-20xx Covid crisis
- Looking at 4 areas:
o Euro Area
 Tends to have high unemployment rate but a low inflation rate
o The US
 Zero lower bound: an idea saying that interest rates cannot fall below zero
 Tends to have higher inflation rate than euro zone, but lower unemployment
rate
o China
 High population, a lot of output with a rapid growth
o Kenya

, Chapter 2: A tour of the world (Module 1)

- Aggregate output: total amount of output produced and supplied in the economy in a given
period
- Nominal GDP ($Y): the sum of the quantities of final goods produced times their current price
- Real GDP (Y): the sum of quantities of final goods times constant (not current) prices
- Example:




Nominal GDP in 2011: 10 × 20,000 = 200,000 Real GDP in 2011: 10 × 24,000 = 240,000

Nominal GDP in 2012: 12 × 24,000 = 240,000 Real GDP in 2012: 12 × 24,000 = 288,000

Nominal GDP in 2013: 13 × 26,000 = 260,000 Real GDP in 2013: 13 × 24,000 = 312,000

GDP
- GDP per capita =
Population
- Labor force (L): Employment (N) + Unemployment (U)
Labor force
- Labor force participation rate =
working age population
Employed
- Employment rate =
working age population
Enemployed U
- Unemployment rate = or u=
Labor force L
- Inflation is a sustained rise in the general level of prices – the price level.
- Deflation is a sustained decline in the price level.
- Consumer Price Index (CPI) is a measure of the cost of living
- Pure inflation is proportional increase in all prices and wages.


Okun’s law: measures the relationship between the unemployment rate and output
growth rate. The relationship is a negative relationship.

Philip’s curve: measures the relationship between the unemployment rate and
inflation rate. The relationship is a negative relationship.

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller woohyun. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $6.45. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

67096 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$6.45
  • (0)
  Add to cart