- Class Number 9683
- Term Code 2960
- Class Info
- Unit Value 6 units
- Mode of Delivery In Person
- Prof Rabee Tourky
- Prof Rabee Tourky
- Class Dates
- Class Start Date 22/07/2019
- Class End Date 25/10/2019
- Census Date 31/08/2019
- Last Date to Enrol 29/07/2019
- Augustus Panton
This course will acquaint students with contemporary modern macroeconomics. Key questions relating to long-terms prospects for the wealth of nations and the short-terms fluctuations in aggregate economic outcomes will be discussed. In addressing these questions, we will need to develop some analytical tools, learn about the modern approaches to macroeconomic modelling, and appreciate the importance of empirical regularities in informing modelling. We will also discuss the relevance of some of these models toward informing macroeconomic policy and business decision making. Students are expected to possess or have the aptitude for some formal mathematical thinking and analysis (at a minimal level of ECON8013 Mathematical Techniques in Economics I).
Upon successful completion, students will have the knowledge and skills to:
- Understand key issues and questions in macroeconomics.
- Develop some idea about how to think about and solve current macroeconomic problems.
- Understand the connection between assumptions made and the conclusions drawn.
- Appreciate the shortcomings of models and to provide alternative improvements.
- Construct logical arguments and provide economic explanations consistent with the workings of the model used.
- Use analytical and (some) numerical methods in modeling.
- Work independently, in teams, and to develop intellectual leadership.
Some of the skill sets, major questions, insights and case studies learned in this course relate directly to the frontier work your instructor and his colleagues are engaged in. In particular, the lecturer's emphasis on physical presence of students in intellectual discourse, self-disciplined learning, critical and research-like independent thinking is designed to encourage students to become leaders in their own future careers to be capable of tackling new and challenging issues. Your lecturer is widely regarded as one of Australia's most creative theoretical economists. He has also received awards internationally for his teaching of undergraduate and MBA students. He has a history of curriculum innovation, synthesising technical rigour with practical real-world economic insight.
Examination Material or equipment
- CS-2015: Carlin, W. and Soskice, D. (2015). Macroeconomics: Institutions, Instability and the Financial System. Oxford University Press.
- JV: Jones, C. I. and Vollrath, D. (2013). Introduction to Economic Growth, 3rd edition. W. W. Norton & Company, Inc.
- CS-2006: Carlin, W. and Soskice, D. (2006). Macroeconomics: Imperfections, Institutions and Policies. Oxford University Press.
While we strongly recommend that you acquire the first textbook (Carlin and Soskice, 2015), copies of these books are available in the 2-hour reserve from the ANU Chifley Library
- Romer, D. (2019). Advanced Macroeconomics, 5/e. McGraw-Hill Publisher (earlier edition is acceptable)
- Williamson, S. (2011). Macroeconomics. Addison-Wesley Publishers.
- Champ, B. and Freeman, S. (2009). Modeling Monetary Economies. Cambridge University Press.
- Jones, C. I. (2014). Macroeconomics. Norton.
- Auerbach, A. J. and Kotlikoff, L. J. (1998). Macroeconomics: An Integrated Approach. MIT Press.
- Mankiw, N. G. (2010). Macroeconomics, 7th edition, Worth Publishers
All of these are available in the Chifley Library.
Students will be given feedback in the following forms in this course:
In Class Activities
– To maximize your experience and feedback on your progress, please attempt all the tutorial problem sets before attending tutorials.
– Most of the learning is reinforced through solving problems on your own and being able to discuss it with the class afterwards.
Lecturer Office Hours
For maximal value, you should have read the relevant materials (textbook, lecture slides) and attempted problems, before turning up to office hours with questions. In this course, your first best line of support is your tutor. However, if you have any further difficulties, do not hesitate to make an appointment (via email) to meet with the Lecturer.
ANU is committed to the demonstration of educational excellence and regularly seeks feedback from students. Students are encouraged to offer feedback directly to their Course Convener or through their College and Course representatives (if applicable). The feedback given in these surveys is anonymous and provides the Colleges, University Education Committee and Academic Board with opportunities to recognise excellent teaching, and opportunities for improvement. The Surveys and Evaluation website provides more information on student surveys at ANU and reports on the feedback provided on ANU courses.
The modern economics student is expected to possess not just analytical skills but increasingly computational skills, both in academia and in the wider marketplace for economists. You are not expected to have any prior training in such skills, but you are expected to have a flexible and open mind towards learning it as we go.
In this course, we will use selected computational softwares for practice exercises.
Feel free to post short questions related to the course material on WATTLE Forum. The usual internet etiquette applies. We may answer your questions occasionally. However, please reserve long queries to physical office hours, as we can best help you there.
Group Study, Self Discipline and taking ownership of learning
Group study is encouraged to help reinforce your learning of the material: What better way to check if you have mastered the material than to be able to explain your understanding to a fellow group member?
Support for Students
The University offers a number of support services for students. Information on these is available online from http://students.anu.edu.au/studentlife/
|Week/Session||Summary of Activities||Assessment|
|1||Neoclassical Growth Models: A Review Review of Solow-Swan Endogenous Economic Growth Assigned Readings: JV: Chs. 2-3 JV: Chs. 4-6 [Optional Reading: CS-2015: Ch 8]|
|2||Introduction to Short-run Economic Fluctuations: Modelling the Demand side of the economy Assigned Reading: CS-2015: Ch. 1||Tutorial and Practice Questions Assignment #1 Out (due W4)|
|3||Introduction to Short-run Economic Fluctuations: Modelling the Demand and supply sides of the economy. Assigned Reading: CS-2015: Chs. 1-2||Tutorial and Practice Questions;|
|4||Closed Economy: 3-equation New Keynesian Model and Macroeconomic Policy Analysis Assigned Reading: CS-2015: Ch 3||Tutorial and Practice Questions Assignment #1 Due|
|5||Modelling Expectations in the 3-equation New Keynesian Paradigm: Rational vs Adaptive Expectations and Time Inconsistency Assigned Reading: CS-2015: Ch 4||Tutorial and Practice Questions|
|6||Modelling the Financial System and Financial crises in the Keynesian Paradigm I Assigned Reading: CS-2015: Chs. 5||Tutorial and Practice Questions Possible Mid-Semester Exam|
|7||Modelling the Financial System and Financial crises in the Keynesian Paradigm II Assigned Reading: CS-2015: Chs. 5-6||Possible Mid-Semester Exam Assignment #2 out|
|8||Open Economy: 3-equation New Keynesian Model and Macroeconomic Policy Analysis Assigned Reading: CS-2015: Chs. 9-10||Tutorial and Practice Questions;|
|9||The Short-run Mundell-Fleming Model Assigned Reading: CS-2006: Ch. 9||Tutorial and Practice Questions Assignment #2 Due|
|10||Open-economy macroeconomics: Mundell-Fleming and the 3-equation New Keynesian Model compared: Monetary and Fiscal Policy Analyses Assigned Readings: CS-2015: Chs. 13-14; CS-2006: Ch. 9||Tutorial and Practice Questions|
|11||Real Business Cycle and New Keynesian Models Assigned Readings: CS-2015: Ch. 16||Tutorial and Final Exam Practice Questions|
|12||Course Review and Looking Ahead||Problem-solving Sessions|
You are expected to attend one tutorial each week from Week 2 onwards. You must enrol in a tutorial using the Wattle site for this course, and attend the tutorial in which you are enrolled. A selection of tutorials will be open for enrolment prior to the beginning of the semester - the remaining tutorials will be open in week 1 of Semester. When tutorials are available for enrolment, follow these steps:
1. Log on to Wattle, and go to the course site
2. Click on the link “Tutorial enrolment”
3. On the right of the screen, click on the tab “Become Member of…..” for the tutorial class you wish to enter
4. Confirm your choice
If you need to change your enrolment, you will be able to do so by clicking on the tab “Leave group….” and then re-enrol in another group. You will not be able to enrol in groups that have reached their maximum number. Please note that enrolment in ISIS must be finalised for you to have access to Wattle.
|Assessment task||Value||Due Date||Return of assessment||Learning Outcomes|
|Assignment 1||10 %||12/08/2019||23/08/2019||1,2, 3, 4, 5, 6|
|Mid-Semester Exam||25 %||26/08/2019||04/10/2019||1,2, 3, 4, 5, 6|
|Assignment 2||10 %||30/09/2019||18/10/2019||1,2, 3, 4, 5, 6|
|Final Exam||55 %||31/10/2019||04/12/2019||1,2, 3, 4, 5, 6|
* If the Due Date and Return of Assessment date are blank, see the Assessment Tab for specific Assessment Task details
ANU has educational policies, procedures and guidelines, which are designed to ensure that staff and students are aware of the University’s academic standards, and implement them. Students are expected to have read the Academic Misconduct Rule before the commencement of their course. Other key policies and guidelines include:
- Student Assessment (Coursework) Policy and Procedure
- Special Assessment Consideration Policy and General Information
- Student Surveys and Evaluations
- Deferred Examinations
- Student Complaint Resolution Policy and Procedure
The ANU is using Turnitin to enhance student citation and referencing techniques, and to assess assignment submissions as a component of the University's approach to managing Academic Integrity. For additional information regarding Turnitin please visit the ANU Online website. In rare cases where online submission using Turnitin software is not technically possible; or where not using Turnitin software has been justified by the Course Convener and approved by the Associate Dean (Education) on the basis of the teaching model being employed; students shall submit assessment online via ‘Wattle’ outside of Turnitin, or failing that in hard copy, or through a combination of submission methods as approved by the Associate Dean (Education). The submission method is detailed below.
Moderation of Assessment
Marks that are allocated during Semester are to be considered provisional until formalised by the College examiners meeting at the end of each Semester. If appropriate, some moderation of marks might be applied prior to final results being released.
This is an on-campus course. Attendance at all teaching events, while not compulsory, is expected in line with “Code of Practice for Teaching and Learning”, clause 2 paragraph (b).
In addition, tutorials are a discussion-based class. Providing worked solutions would not effectively compensate for missing a tutorial. Students who, through unavoidable and unplanned occurrences, are unable to attend a tutorial class one week are encouraged to work through the problems and attend a consultation session for discussion and solutions.
see Assessment Tasks 2 and 4
Assessment Task 1
Learning Outcomes: 1,2, 3, 4, 5, 6
10%, Compulsory and Non-redeemable.
Assignments must be submitted via Turnitin (link on Wattle) in PDF format. If an assessment task is not submitted by the WATTLE -announced due date, a mark of 0 will be awarded, unless extension was granted before the due date. Each student must submit an original work and declare it to be so. Assignment questions will be available at the end of week 2. Further details will be given in class and on Wattle.
Assessment Task 2
Learning Outcomes: 1,2, 3, 4, 5, 6
25%, Redeemable. Will be held during week 6 or week 7 (as determined by Central Examinations). The exam will approximately 2.5 hours long and will cover material discussed in lectures and tutorials prior to the exam. Further details will be given in class and on Wattle during weeks 4 and 5.
Assessment Task 3
Learning Outcomes: 1,2, 3, 4, 5, 6
10%, Compulsory and Non-redeemable.
Assignments must be submitted via Turnitin (link available on Wattle) in PDF format. If an assessment task is not submitted by the WATTLE -announced due date, a mark of 0 will be awarded, unless extension was granted before the due date. Each student must submit an original work and declare it to be so. Assignment questions will be available at the end of week 7. Further details will be given in class and on Wattle.
Assessment Task 4
Learning Outcomes: 1,2, 3, 4, 5, 6
55%, Compulsory and Non-redeemable. Will be held during the University Exam Block. The exam will approximately 3 hours long and will cover material discussed in lectures and tutorials throughout the semester. Further details will be given in class and on Wattle during weeks 10 and 11.
Academic integrity is a core part of the ANU culture as a community of scholars. At its heart, academic integrity is about behaving ethically, committing to honest and responsible scholarly practice and upholding these values with respect and fairness.
The ANU commits to assisting all members of our community to understand how to engage in academic work in ways that are consistent with, and actively support academic integrity. The ANU expects staff and students to be familiar with the academic integrity principle and Academic Misconduct Rule, uphold high standards of academic integrity and act ethically and honestly, to ensure the quality and value of the qualification that you will graduate with.
The Academic Misconduct Rule is in place to promote academic integrity and manage academic misconduct. Very minor breaches of the academic integrity principle may result in a reduction of marks of up to 10% of the total marks available for the assessment. The ANU offers a number of online and in person services to assist students with their assignments, examinations, and other learning activities. Visit the Academic Skills website for more information about academic integrity, your responsibilities and for assistance with your assignments, writing skills and study.
You will be required to electronically sign a declaration as part of the submission of your assignment. Please keep a copy of the assignment for your records. Unless an exemption has been approved by the Associate Dean (Education) as submission must be through Turnitin. Assignments must to be submitted via WATTLE in PDF format.
If an assessment task is not submitted by the WATTLE -announced due date, a mark of 0 will be awarded, unless extension was granted before the due date.
If an assignment is handed in as hard copy (instead of online Turnitin submission), the student may be required to provide all relevant references along with the submission.
Individual assessment tasks may not allow for late submission, unless approval is granted before the due date, support to the University's guidelines.
Accepted academic practice for referencing sources that you use in presentations can be found via the links on the Wattle site, under the file named “ANU and College Policies, Program Information, Student Support Services and Assessment”. Alternatively, you can seek help through the Students Learning Development website.
Marked assignments will be returned to you, but please keep a copy of your submitted work as a safety precaution. Written feedback will be given on your individually marked assignment.
Extensions and Penalties
Extensions and late submission of assessment pieces are covered by the Student Assessment (Coursework) Policy and Procedure. The Course Convener may grant extensions for assessment pieces that are not examinations or take-home examinations. If you need an extension, you must request an extension in writing on or before the due date. If you have documented and appropriate medical evidence that demonstrates you were not able to request an extension on or before the due date, you may be able to request it after the due date.
Distribution of grades policy
Academic Quality Assurance Committee monitors the performance of students, including attrition, further study and employment rates and grade distribution, and College reports on quality assurance processes for assessment activities, including alignment with national and international disciplinary and interdisciplinary standards, as well as qualification type learning outcomes.
Since first semester 1994, ANU uses a grading scale for all courses. This grading scale is used by all academic areas of the University.
Support for students
The University offers students support through several different services. You may contact the services listed below directly or seek advice from your Course Convener, Student Administrators, or your College and Course representatives (if applicable).
- ANU Health, safety & wellbeing for medical services, counselling, mental health and spiritual support
- ANU Diversity and inclusion for students with a disability or ongoing or chronic illness
- ANU Dean of Students for confidential, impartial advice and help to resolve problems between students and the academic or administrative areas of the University
- ANU Academic Skills and Learning Centre supports you make your own decisions about how you learn and manage your workload.
- ANU Counselling Centre promotes, supports and enhances mental health and wellbeing within the University student community.
- ANUSA supports and represents undergraduate and ANU College students
- PARSA supports and represents postgraduate and research students
Game Theory, Statistics, Financial Economics and Computational Economics
Prof Rabee Tourky
Prof Rabee Tourky