Fall 2025 Syllabus: download

​

OPTIONAL Books for the course

• ​Garin-Lester-Sims, Intermediate Macroeconomics by Julio Garin, Robert Lester and Eric Sims. ("GLS Macro").  This is a truly modern macro textbook that is really more of an "advanced undergraduate" macro book than an "intermediate" book.​

• Gregory Mankiw's Macroeconomics, 12th Edition, 2025

​

MODULE 1: Review and Macro on the Island

​

• Macroeconomic Review Materials Plus

  • Macro Review 00: Micro Supply and Demand Analysis

  • Macro Review 01: National Income Identity

  • Macro Review 02: Definitions and Nominal vs Real Variables

  • Review AS-AD Basics

  • Time Paths

  • ​Practice Problems

    • Practice Problems: AS-AD Review and Time Paths

​​

• The Island Macro Economy

  • Island and 3 Key Economic Questions All Societies Face

    • HO Setup and Agg Production​

  • Static Optimal Allocation

    • Intro to Marginal Benefit Marginal Cost Analysis​

    • More Technical MB-MC Analysis and Rates of Transformation

  • ​​​Linear Production, Productivity, Wages and Innovation

    • HO Linear Prod MPL Scanned

    • HO Note on Tech Growth and Labor in History

  • Practice Problems

    • Practice Problems: Setup and Aggregate Production​

​​​

• ​NeoClassical Theory of Income Distribution​

  • Concave Production, CRTS, Marginal Products

    • HO Concave Functions in Economics

  • NeoClassical Theory of Income Distribution

    • HO Distribution of Income Broader Thoughts

    • HO Distribution of Income Conclusion

    • Mankiw Chap 3 - National Income: Where It Comes From and Where It Goes

  • Practice Problems

    • Practice Problems: NeoClassical Theory of Distribution

​

​​EXAM 1: Tuesday, October 7

Practice Problems: Setup and Aggregate Production​

Practice Problems: NeoClassical Theory of Distribution​

​

​MODULE 2: The Solow Growth Model and Allocation over Time

​

• Solow Growth Model​​

  • HO Solow Growth Handwritten Notes​

  • Optional Material

    • Kaldor Stylized Facts (Wiki)

    • World Bank Graph: US and Germany

    • Word Bank Graph: US and Japan​

  • Practice Problems: Solow Growth Model​​

​​

• Allocation Decisions: Static and Dynamic​

  • HO Budget Constraints

  • HO Preferences

  • HO Utility

  • HO Allocation 1: MB = MC

  • HO Allocation 2: Log Utility and Formulas

  • HO Allocation 3: Transformation Technology

  • HO Allocation 4: Solving the Micro Problem

  • HO Allocation 5: The Macro Problem

  • HO Allocation 6: Allocation Over Time Setup

  • HO Allocation 7: Allocation Over Time Solution

  • HO Allocation 8: Examples Over Time

  • HO Allocation 9: Graphing Budget Constraints

  • HO Allocation 10: Graphing Utility

  • Practice Problems: Allocation 1 Euler​​​​

​

​​EXAM 2: TBD

Practice Problems: Solow Growth Model

​

​MODULE 3: Money and Macroeconomic Policy

​

• Transaction Costs and Institutions​​

  • HO The Birth of Money Part 2

  • HO The Birth of Money Part 1

  • HO Transaction Costs​

  • Optional READINGS:​

    • The Island of Yap (Chap 1 in Milton Friedman's Money Mischief)

    • The Mystery of Money (First pages of Chap 2 in Friedman's Money Mischief)

    • BBC Article on YAP today (2018)

    • Wikipedia's YAP page

  • Practice Problems

  • Practice Problems: The Birth of Money and MV=Py

• Monetary Policy

  • Modern Monetary Policy: Taylor Rules and New Keynesian Views

    • An AS-AD basis for monetary policy action

    • The idea of Interest Rate Rules: The Taylor Rule

    • The Effects of Interest Rates on Inflation in Our Allocation Model

  • Practice Problems

    • Practice Problems:

  • ​The Challenge of Monetary Policy, the Phillips Curve and Losing Control

    • HO "Dangerous Expectations"

    • Monetary Policy and AS-AD: Pt 1 - The Phillips Curve​

    • Monetary Policy and AS-AD: Pt 2 - Loosing Control

  • Practice Problems

    • Practice Problems:

  • The Monetary System​

    • HO Chap 4 The Monetary System Notes​​​​

  • Practice Problems

    • Practice Problems:

• Allocation Decisions: Static and Dynamic​

  • HO Real Money Markets

  • Practice Problems

  • Practice Problems: Real Money Market Analysis​​

​

EXAM 3: December 4th

Practice Problems: AS-AD and Monetary Policy

Practice Problems: Monetary Policy Short, Medium and Long-run

 

APPENDIX: Review of Economics and Math Notes

​

• Economics Review

  • Review AS-AD Basics

  • Time Paths

  • Review of the Law of One Price

  • Review Basic S&D Analysis

    • Practice Problems for Review of Supply and Demand​

• Math Review/Notes

  • Basic Math, Graphing and Intro to S&D

  • Derivatives in 10 Minutes or Less

  • Geometric Series

  • Percentage Changes “Three Ways to Calculate”​

• The Socialist Calculation Debate​

  • ChatGPT Notes "Socialist Calculation Debate Full" (Nov 6, 2025)

  • READINGS: FA Hayek's (1945) "Use of Knowledge in Society" AER​

• The Birth of Government

  • The Birth of Money

  • The Birth of Government (Fiscal Authority)

• Fiscal Policy

  • HO Gov Fin Pt 1 Constraints

  • HO Gov Fin Pt 2 Further Thoughts

  • HO Gov_Finances_Pt_3_FTPL

  • OPTIONAL: Congressional Budget Office

• Money Market Basics

  • HO Money Markets Pt 1 Nominal 2023

  • Chris Youtube Videos​: "The Nominal Money Market" or "The Market for Nominal Money Balances"

  • HO Money Markets Pt 2 Real 2023

• Allocation Decisions: Static and Dynamic​

  • (See more details and notes at bottom of page if you are interested)

  • HO Allocation 1: MB = MC

  • HO Allocation 2: Log Utility and Formulas

  • HO Allocation 3: Transformation Technology

  • HO Allocation 4: Solving the Micro Problem

  • HO Allocation 5: The Macro Problem

  • HO Allocation 6: Allocation Over Time Setup

  • HO Allocation 7: Allocation Over Time Solution

  • HO Allocation 8: Examples Over Time

  • HO Allocation 9: Graphing Budget Constraints

  • HO Allocation 10: Graphing Utility

​​

​