BROCK UNIVERSITY

ECONOMICS 5P02

MACROECONOMIC THEORY

Winter 2009

A. General Information

Instructor	Professor Zisimos Koustas
Office	Plaza 437
Phone	688-5550 Ext. 3326
Web Page	http://spartan.ac.brocku.ca/~zkoustas/
Office Hours	T 13:00-14:00 R 13:00-14:00

B. Course Grading

There will be a midterm test and a final examination. In addition, 4-5 problem sets will be assigned and marked. The average of the assignment grades will be used to calculate the final grade. The weights attached to each piece of work in the course are as follows:

Midterm test	40%
Assignments	10%
Final examination	50%

Note: Students may withdraw from the course without academic penalty by Friday, February 27, 2009.

C. Suggested Study Method

Attending classes regularly and taking class notes is strongly recommended. Active class participation, through contributing to the discussion, is very much encouraged. Discussing the assigned problems with classmates is allowed and indeed encouraged. However, the final product must reflect your own work. Late assignments will be accepted with a penalty of 10 marks per overdue day.

D. Course Outline

Required Text: David Romer, Advanced Macroeconomics, Third Edition, McGraw-Hill Irwin, 2006.

Part I: Theories of Economic Fluctuations

1. Keynesian Theories of Economic Fluctuations

2. Keynes and the Classics

3. Incomplete Nominal Adjustment

Part II: Rational Expectations and Stabilization Policy

Part III. Consumption and Savings

Part IV: Investment

Part V: Unemployment

Midterm Test: Saturday, February 14, 2009