Course detail

Macroeconomics

FSI-HMKAcad. year: 2017/2018

The course focuses on the understanding of entire economy functioning. The relations among product, services and labour markets on one hand and assets of the given economy on the other hand are explained. Also dealt with is the influence on consumption, investments, inflation rate and unemployment, measurement of economic output and its long term growth, issues related to the economic cycle, fiscal and monetary policy as well as present economic problems. Also discussed are the modern economic theories and their methods of solution of key economic problems.

Language of instruction

Czech

Number of ECTS credits

6

Mode of study

Not applicable.

Guarantor

Ing. Vladimíra Bayerová, Ph.D.

Department

Institute of Manufacturing Technology (ÚST)

Learning outcomes of the course unit

After finishing the course students should be able: To understand theoretical basis and principles of macroeconomics. To understand the functioning of the national economy mechanism and its equilibrium, interconnection of the national economy and the world economy and their influences on particular businesses and achieving key managerial objectives. To understand how the managerial tasks are being accomplished in the national economy. To work out analytic and synthetic managerial information related to the national economy and apply it when making key managerial decisions. To use critical and analytical way of thinking in the managerial processes underlying the operation and strategic development of business activity within national and world economy.

Prerequisites

Prerequisites: high school knowledge of economics and a general overview of the economic situation in the Czech Republic and in the world as well as knowledge of the mathematical principles in the economics and the ability of their applications in model examples.

Co-requisites

Not applicable.

Planned learning activities and teaching methods

The course contains of two-hour lectures that explain basic principles, problems and methodology of the discipline, and two-hour practical seminar. The practical exercises promote the practical knowledge of the subject presented in the lectures and also are concerned on handling numerical tasks.

Assesment methods and criteria linked to learning outcomes

Student gets credit if he receives at least 15 points out of 30 possible points awarded for practical seminars and fulfills a 75% participation in seminars. Points will be awarded for knowledge at seminars and final test, from which a student must obtain at least 10 points. The requirement to final examination is the knowledge of the course and obtained credit. The final exam is written (written test). It takes into account a comprehensive knowledge of macroeconomics, in all material respects. The maximum number of possible points is 70. Each student must obtain at least 35 points. In the overall assessment, the points of the seminars and examination are added. Students may request an oral verification.

The scale of the resulting classification:
(student may gain from exercise 30 points and max.70 points of the test, a total of 100 points)
A: 90-100 points
B: 80-89 points
C: 70-79 points
D: 60-69 points
E: 50-59 points
F: less than 50 points

Course curriculum

1. Introduction to macroeconomics. Development of economic theory.
2. Market, market mechanism. Types of market structures.
3. Aggregate supply, aggregate demand. Model AS-AD. Growth and decline in AD and AS, aggregate spending, the slope of the AS curve.
4. Measurement of economic output, GDP, GNP, national income.
5. The concept of macroeconomic equilibrium models - classical, Keynesian, Neokeynesian compromise.
6. Monetary aggregates, monetary theory, money multiplier, equilibrium changes in the money market.
7. Labour market, unemployment. Equilibrium in the labour market, unemployment, unemployment forms.
8. Inflation, types of inflation, inflation and unemployment.
9. The theory of the business cycle and economic growth.
10. Fiscal policy - state budget, public finance, built-in stabilizers, discrete measures, expansive and restrictive fiscal policy.
11. Monetary policy. Tools and objectives of monetary policy, expansive and restrictive monetary policy.
12. Macroeconomic goals, the effectiveness of economic policy, magic polygons, functions of the state in the economy.
13. Theory of international trade, external trade and monetary policy, free trade, protectionism, exchange rate development.

Work placements

Not applicable.

Aims

The main objective of the course is to provide students with the knowledge of macroeconomics on the level required at higher education institutions. Understanding of macroeconomic relations and connections, terms and necessary theoretical fundaments as well as understanding of possibilities and economic policy of the government.

Specification of controlled education, way of implementation and compensation for absences

Control of students’ attendance and results is fully in competence of the lecturer. The course-unit credit is conditional on 75% attendance.

Recommended optional programme components

Not applicable.

Prerequisites and corequisites

Not applicable.

Basic literature

KUČEROVÁ, V. Makroekonomie 1. Brno: CERM, 2013. 126 s. ISBN: 978-80-214-4798- 1.
SAMUELSON, P.A.; NORDHAUS, W.D. Ekonomie. 18.vyd. Praha: NS SVOBODA, 2010. 775 s. ISBN 80-205-0590-3. (CS)
HOLMAN,R. a kol. Ekonomie. 5. vydání. Praha: C. H. Beck, 2011. 720 s. ISBN 978-80-7400-006-5. (CS)
Pontus Rendahl; Fiscal Policy in an Unemployment Crisis, The Review of Economic Studies, Volume 83, Issue 3, 1 July 2016, Pages 1189–1224, https://doi.org/10.1093/restud/rdv058 (EN)
MANKIW, N. G. Principles of Macroeconomics. 7th Edition. Cengage Learning, 2015. (EN)

Recommended reading

JUREČKA, V. a kol. Makroekonomie. 1. vyd. Praha: Grada, 2010. 332 s. ISBN 978-80-247-3258-9.
LIŠKA,V a kol. Makroekonomie , 2.vyd. Praha, Professional Publishing, 2004,928s., ISBN 80-86419-51-1
SOUKUP, J., POŠTA, V. a kol. Makroekonomie. 2. vyd. Praha: Management Press, 2010. 518 s. ISBN 978-80-7261-219-2.

Classification of course in study plans

  • Programme M2I-P Master's

    branch M-STM , 1. year of study, summer semester, compulsory-optional
    branch M-STM , 1. year of study, summer semester, compulsory

Type of course unit

 

Lecture

26 hours, optionally

Teacher / Lecturer

doc. Ing. Marek Zinecker, Ph.D.

Syllabus

1. Introduction into macroeconomics – development of the macroeconomic theory.
2. Market, market mechanism, disequilibrium market, inefficiency, the types of market structures.
3. Aggregate supply, aggregate demand, growth and decrease of AD and AS, aggregate expenditures, slope of the AS curve.
4. The measurement of the economic output, national product (GDP, GNP) and national income.
5. The macroeconomic equilibrium, classical, Keynesian and Neokeynesian models.
9. Economical growth, models of the economical growth, theory of the business cycle.
7. The money theory, money aggregates, money market.
8. Labour market, unemployment, money market equilibrium, the rate of unemployment, types of unemployment.
9. Inflation, types of inflation, relationship between inflation and unemployment.
10. Fiscal policy – state budget, public finance, expansionary and restrictive fiscal policy.
11. Monetary policy – monetary goals and tools, expansionary and restrictive monetary policy.
12. Macroeconomics goals, effectiveness of economic policy, magic n-square, the function of the state in market economy.
13. Theory of the international trade, external trade and monetary policy, free market, protectionism, development of exchange rates.

Exercise

26 hours, compulsory

Teacher / Lecturer

Ing. Zdeněk Konečný, Ph.D.

Syllabus

1. Introduction to the course
2. Market and market mechanism
3. Model AS-AD
4. Measurement of economic output
5. The two-sector keynesian model income-expenditure
6. The causes and phases of the economic cycle, the business cycle of the Czech Republic
7. The money market and the money multiplier
8. Labour market and changes in the market
9. Measurement of inflation
10. Types of fiscal policy and its applications
11. Types of monetary policy and the reasons for their application, the policy of the CNB
12. Balance of payments, exchange rates
13. Final test