| Week |
Subject |
Related Preparation |
| 1) |
What is macroeconomics?
* Issues of macroeconomics
* Output
* Unemployment rate
* Inflation rate
* Okun's Law and Philips Curve
* Short, medium and long-run |
Reading Chapter 1 and 2 in Blanchard (2017) |
| 2) |
* The Composition of GDP
* The Demand for Goods
* The Determination of Equilibrium Output
* Investment and Saving: An Alternative Way of Thinking about Goods-Market Equilibrium |
Reading Chapter 3 in Blanchard (2017) |
| 3) |
The Demand for Money
* Money Demand, Money Supply, and the Equilibrium Interest Rate
* Monetary Policy and Open Market Operations
* What Banks Do
* The Demand and Supply for Central Bank Money
* The Federal Funds Market and the Federal Funds Rate
* Liquidity Trap |
Reading Chapter 4 in Blanchard (2017) |
| 4) |
The Goods Market and the IS Relation
* Investment, Sales, and the Interest Rate
* Determining Output
* Deriving the IS Curve
* Shifts of the IS Curve
* Financial Markets and the LM Relation
* Real Money, Real Income, and the Interest Rate
* Deriving the LM Curve
* Putting the IS and the LM Relations Together
* Fiscal Policy
* Monetary Policy |
Reading Chapter 5 in Blanchard (2017) |
| 5) |
Nominal versus Real Interest Rates
* The Zero Lower Bound and Deflation
* Risk and Risk Premia
* The Role of Financial Intermediaries
* Extending the IS-LM
* Housing Prices and Subprime Mortgages
* The Role of Financial Intermediaries
* Macroeconomic Implications
* Policy Responses |
Reading Chapter 6 in Blanchard (2017) |
| 6) |
A Tour of the Labor Market
* Movements in Unemployment
* Wage Determination
* Price Determination
* The Natural Rate of Unemployment
|
Reading Chapter 7 in Blanchard (2017) |
| 7) |
Inflation, Expected Inflation and Unemployment
* The Phillips Curve and Its Mutations
* The Phillips Curve and the Natural Rate of Unemployment
* Variations in the Natural Rate across Countries
* Variations in the Natural Rate over Time
* High Inflation and the Phillips Curve Relation
* Deflation and the Phillips Curve Relation |
Reading Chapter 8 in Blanchard (2017) |
| 8) |
MIDTERM |
Getting prepared for midterm exam |
| 9) |
The IS-LM-PC model
* Dynamics and the Medium Run Equilibrium
* The Role of Expectations Revisited
* The Zero Lower Bound and Debt Spirals
* Fiscal Consolidation Revisited
* The Effects of an Increase in the Price of Oil
* Effects on the Natural Rate of Unemployment
|
Reading Chapter 9 in Blanchard (2017) |
| 10) |
Expected Present Discounted Values
* Bond Prices and Bond Yields
* The Stock Market and Movements in Stock Prices
* Risk, Bubbles, Fads, and Asset Prices |
Reading Chapter 14 in Blanchard (2017) |
| 11) |
Expectations, Consumption, and Investment
* The Volatility of Consumption and Investment |
Reading Chapter 15 in Blanchard (2017) |
| 12) |
Expectations, Output, and Policy
* Expectations and Decisions: Taking Stock
* Expectations, Consumption, and Investment Decisions
* Expectations and the IS Relation
* Monetary Policy, Expectations, and Output
* Deficit Reduction, Expectations, and Output |
Reading Chapter 16 in Blanchard (2017) |
| 13) |
Openness in Goods Markets
* Exports and Imports
* The Choice between Domestic Goods and Foreign Goods
* Nominal Exchange Rates
* Openness in Financial Markets
* The Balance of Payments
* The Choice between Domestic and Foreign Assets
* Interest Rates and Exchange Rates |
Reading Chapter 17 in Blanchard (2017) |
| 14) |
The IS Relation in the Open Economy
* Equilibrium Output and the Trade Balance
* Increases in Domestic Demand
* Increases in Foreign Demand
* Depreciation and the Trade Balance: The Marshall-Lerner Condition
* The Effects of a Real Depreciation
* Combining Exchange Rate and Fiscal Policies
* The J-Curve
* Saving, Investment, and the Current Account Balance
|
Reading Chapter 18 in Blanchard (2017) |
| 15) |
FINAL |
Getting prepared for final exam |
| |
Program Outcomes |
Level of Contribution |
| 1) |
Explain the advances in the area of economics and finance within the framework of scientific methodology, theories and models. |
5 |
| 2) |
Employ the appropriate tools and analytical techniques to collect and analyze quantitative and qualitative data in the related areas, interpret results and propose solutions. |
5 |
| 3) |
Explain the evolution of financial markets and institutions in a historical context and define how they operate. |
3 |
| 4) |
Recognise the basic principles and regulations in the financial sector. |
1 |
| 5) |
Discover and create entrepreneurial opportunities to successfully establish and develop their own ventures. |
2 |
| 6) |
Recognise, interpret and discuss the current economic issues both at the national and global levels. |
5 |
| 7) |
Have the English proficiency in following and interpreting the developments in the areas of economics and finance and in conducting written and oral communication. |
3 |
| 8) |
Express the role of international capital markets in the global economy; accordingly define the concept of risk in terms of measurement and management. |
3 |
| 9) |
Identify standards of personal, professional, social and business ethics, evaluate the ethical implications of various practices in the related areas, and be aware the importance of ethical behavior in adding value to the society. |
1 |
ISTANBUL OKAN UNIVERSITY INFORMATION PACKAGE / COURSE CATALOGUE
