Lecturer
Dr Salonkara Chaudhuri
Course overview
- Study period
- Semester 2, 2024 (22/07/2024 - 18/11/2024)
- Study level
- Undergraduate
- Location
- St Lucia
- Attendance mode
- In Person
- Units
- 2
- Administrative campus
- St Lucia
- Coordinating unit
- Economics School
Theory and practice of fiscal and monetary policy over the short/medium term. Conventional and unconventional monetary policy. Business cycles and stabilization policy. Exchange rate regimes. Labour markets and unemployment. Microfounded macroeconomic models. Macroecomic data analysis.
This course covers topics in macroeconomic policy at the intermediate level. The focus is on fiscal and monetary policyﾠover the short/medium term.
The course combines theory and data analysis. On the theory side, we study aggregate activity through the lenses of “microfounded” macroeconomic models. The data part focuses on analysing actual macroeconomic data from Australia and the rest of the world.ﾠ
Course requirements
Assumed background
It is assumed that students have previously covered material in the areas of macroeconomics and microeconomics at the intermediate level. Students are also expected toﾠbe reasonably comfortable with basic algebra, basic calculus, constrained optimisation, and with spreadsheet software (e.g. Excel).
Prerequisites
You'll need to complete the following courses before enrolling in this one:
ECON1050 + (ECON2020 or 2021)
Course contact
School enquiries
Student Enquiries, School of Economics
All enquiries regarding student and academic administration (i.e. non-course content information, e.g., class allocation, timetables, extension to assessment due date, etc.) should be directed to enquiries@economics.uq.edu.au.
Enquiries relating specifically to course content should be directed to econ2040@uq.edu.au.
Course staff
Course coordinator
Dr Terence Yeo
Tutor
Mr Samuel Buckland
Miss Emma Searle
Ms Sanjana Singh
Timetable
The timetable for this course is available on the UQ Public Timetable.
Additional timetable information
Please refer to My Timetable (available via your my.UQ dashboard) for more information on the tutorial preferencing and allocation process. Tutorials commence in Teaching Week 2.
Students should refer to the timetable prior to the commencement of classes to ensure that they have the most up to date information, as from time to time late room changes may occur.
Please see the Learning Activities section of this Course Profile for the timetabling implications of public holidays.
Important dates:
- Public Holidays: Wed 14 August (Royal QLD Show), Mon 7 October (King's Birthday).
- In-Semester Break: 23 - 29 September. Semester 2 classes recommence Mon 30 September.
Aims and outcomes
The main goal of the course is to equip students with a rigorous framework for understanding both macroeconomic phenomenaﾠand the role of the government in the economy.
The first part of the course concentrates on building an intertemporal “workhorse” model for analysing short/medium term policies. This model will be microfounded, in the sense that macroeconomic phenoma will result from aggregating the decisions of individual agents (e.g., consumers andﾠfirms). The model will be casted in a closed economy and in an open economy framework, to study the roles of fiscal and monetary policy.
The course aims to build a tight link between the models presented and the actual data.
Learning outcomes
After successfully completing this course you should be able to:
LO1.
Apply core theoretical macroeconomic models to explain real world macroeconomic phenomena.
LO2.
Show how aggregate macroeconomic activity is shaped by microeconomic behaviour and equilibrium restrictions.
LO3.
Identify key contemporary macroeconomic issues and discuss possible solutions towards improving current policies.
LO4.
Illustrate the trade-offs present in designing fiscal and monetary policy over the short/medium term.
LO5.
Collect, analyse, and interpret macroeconomic data from Australia and the rest of the world.
Assessment
Assessment summary
| Category | Assessment task | Weight | Due date |
|---|---|---|---|
| Quiz |
CML Quiz
|
17% |
12/08/2024 - 16/08/2024
Due 4pm |
| Examination |
In-Semester Examination
|
30% |
12/09/2024 12:00 pm |
| Tutorial/ Problem Set |
Assignment
|
17% |
14/10/2024 - 25/10/2024
Due 4pm |
| Examination |
Final Exam
|
36% |
End of Semester Exam Period 2/11/2024 - 16/11/2024 |
Assessment details
CML Quiz
- Online
- Mode
- Written
- Category
- Quiz
- Weight
- 17%
- Due date
12/08/2024 - 16/08/2024
Due 4pm
- Learning outcomes
- L01, L02, L03, L04, L05
Task description
The CML Quiz consists of various questions which assess the understanding of the topics studied in class.
This assessment task evaluates students' abilities, skills and knowledge without the aid of generative Artificial Intelligence (AI). Students are advised that the use of AI technologies to develop responses is strictly prohibited and may constitute student misconduct under the Student Code of Conduct.
The topics covered in CML will be communicated via Blackboard.
Submission guidelines
Enter answers into Blackboard/Turnitin by the due date and time.
Deferral or extension
You cannot defer or apply for an extension for this assessment.
No extensions are possible, even with a medical certificate. CML Access is blocked after the due date and time.
Late submission
A penalty of 100% for non-submission will apply.
In-Semester Examination
- Online
- Mode
- Written
- Category
- Examination
- Weight
- 30%
- Due date
12/09/2024 12:00 pm
- Other conditions
- Time limited.
- Learning outcomes
- L01, L02, L03, L04, L05
Task description
This will be a 90 minute online, open book in-semester exam, plus an additional 10 minutes reading time and 15 minutes submission time.
The exam will consist of short answer and problem-solving questions.
The topics covered in the In-Semester Exam will be communicated via Blackboard.
This assessment task is to be completed in-person. The use of generative Artificial Intelligence (AI) tools will not be permitted. Any attempted use of Generative AI may constitute student misconduct under the Student Code of Conduct.
Exam details
| Planning time | 10 minutes |
|---|---|
| Duration | 90 minutes |
| Calculator options | Any calculator permitted |
| Open/closed book | Open Book examination |
| Exam platform | Learn.UQ |
| Invigilation | Not invigilated |
Submission guidelines
Students will need to hand write their answers on paper and scan-to-pdf before uploading to Turnitin.
Deferral or extension
You may be able to defer this exam.
Late submission
Exams submitted after the end of the submission time will incur a late penalty.
Assignment
- Online
- Mode
- Written
- Category
- Tutorial/ Problem Set
- Weight
- 17%
- Due date
14/10/2024 - 25/10/2024
Due 4pm
- Learning outcomes
- L01, L02, L03, L04, L05
Task description
The Assignment consists of problem solving, essay, and/or short answer questions which assess the understanding of the topics studied in class. Collection, manipulation, and interpretation of macroeconomic data may be also required.
This assessment task evaluates students' abilities, skills and knowledge without the aid of generative Artificial Intelligence (AI). Students are advised that the use of AI technologies to develop responses is strictly prohibited and may constitute student misconduct under the Student Code of Conduct.
The topics covered in the Assignment will be communicated via Blackboard.
Submission guidelines
The assignment must be submitted electronically via Blackboard/TurnitIn.
Deferral or extension
You may be able to apply for an extension.
The maximum extension allowed is 14 days. Extensions are given in multiples of 24 hours.
Extensions are limited to 14 calendar days to ensure timely feedback to other students.
Late submission
A penalty of 10% of the maximum possible mark will be deducted per 24 hours from time submission is due for up to 7 days. After 7 days, you will receive a mark of 0.
Final Exam
- Identity Verified
- In-person
- Mode
- Written
- Category
- Examination
- Weight
- 36%
- Due date
End of Semester Exam Period
2/11/2024 - 16/11/2024
- Other conditions
- Time limited.
- Learning outcomes
- L01, L02, L03, L04, L05
Task description
This will be a 120 minute final exam, plus additional 10 minutes reading time.
The final exam will be an in-person, open book, invigilated exam. The exam will be held during the central examination period at a day/time set by Examinations Section.
The final exam will cover all topics from lectures and tutorials and will include multiple choice, short answer and problem solving questions.
This assessment task is to be completed in-person. The use of generative Artificial Intelligence (AI) tools will not be permitted. Any attempted use of Generative AI may constitute student misconduct under the Student Code of Conduct.
Exam details
| Planning time | 10 minutes |
|---|---|
| Duration | 120 minutes |
| Calculator options | Any calculator permitted |
| Open/closed book | Open Book examination |
| Exam platform | Paper based |
| Invigilation | Invigilated in person |
Submission guidelines
Deferral or extension
You may be able to defer this exam.
Course grading
Full criteria for each grade is available in the Assessment Procedure.
| Grade | Cut off Percent | Description |
|---|---|---|
| 1 (Low Fail) | 0% - 29% |
Absence of evidence of achievement of course learning outcomes. |
| 2 (Fail) | 30% - 46% |
Minimal evidence of achievement of course learning outcomes. |
| 3 (Marginal Fail) | 47% - 49% |
Demonstrated evidence of developing achievement of course learning outcomes |
| 4 (Pass) | 50% - 64% |
Demonstrated evidence of functional achievement of course learning outcomes. |
| 5 (Credit) | 65% - 74% |
Demonstrated evidence of proficient achievement of course learning outcomes. |
| 6 (Distinction) | 75% - 84% |
Demonstrated evidence of advanced achievement of course learning outcomes. |
| 7 (High Distinction) | 85% - 100% |
Demonstrated evidence of exceptional achievement of course learning outcomes. |
Additional course grading information
A student's final overall end of semester percentage mark will be rounded to determine their final grade. For example, 64.5% rounds to 65%, while 64.4% rounds to 64%.
Supplementary assessment
Supplementary assessment is available for this course.
Additional assessment information
Plagiarism
The School of Economics is committed to reducing the incidence of plagiarism. Further information on plagiarism and how to avoid an allegation of plagiarism is available in this course profile under Policies & Guidelines. Please refer to the Academic Integrity Module (AIM). It is strongly recommended that you complete the AIMﾠif you have not already done so.
Learning resources
You'll need the following resources to successfully complete the course. We've indicated below if you need a personal copy of the reading materials or your own item.
Library resources
Find the required and recommended resources for this course on the UQ Library website.
Learning activities
The learning activities for this course are outlined below. Learn more about the learning outcomes that apply to this course.
Filter activity type by
Please select
| Learning period | Activity type | Topic |
|---|---|---|
Week 1 (22 Jul - 28 Jul) |
Lecture |
Introduction and Macro Measurement GDP measurement, Business Cycle measurement Readings/Ref: BB Resources ; Williamson (Ch. 2); Kurlat (Ch. 1) Learning outcomes: L01, L05 |
Week 2 (29 Jul - 04 Aug) |
Lecture |
Macro Measurement Business Cycle measurement Readings/Ref: BB Resources ; Williamson (Ch. 3); Kurlat (Ch. 12) Learning outcomes: L01, L05 |
Week 3 (05 Aug - 11 Aug) |
Lecture |
Microfoundations The Household Readings/Ref: BB Resources ; Williamson (Ch. 4); Kurlat (Ch. 7) Learning outcomes: L02, L04 |
Week 4 (12 Aug - 18 Aug) |
Lecture |
Microfoundations The Household Readings/Ref: BB Resources ; Williamson (Ch. 9, 11); Kurlat (Ch. 6) Learning outcomes: L02, L04 |
Week 5 (19 Aug - 25 Aug) |
Lecture |
Microfoundations The Firm and the Government Readings/Ref: Williamson (Ch. 11); Kurlat (Ch. 9) Learning outcomes: L02, L04 |
Week 6 (26 Aug - 01 Sep) |
Lecture |
Real Business Cycle Model Equilibrium and Shocks Readings/Ref: BB Resources ; Williamson (Ch. 11); Kurlat (Ch. 9, 13) Learning outcomes: L01, L02, L03, L04, L05 |
Week 7 (02 Sep - 08 Sep) |
Lecture |
Real Business Cycle Model Equilibrium and Shocks Readings/Ref: BB Resources ; Williamson (Ch. 14-15); Kurlat (Ch. 9, 13) Learning outcomes: L01, L02, L03, L04, L05 |
Week 8 (09 Sep - 15 Sep) |
Lecture |
In-Semester Exam In-Semester Exam to be held during lecture hours. |
Week 9 (16 Sep - 22 Sep) |
Lecture |
Money in the Long Run Money aggregates, the RBA, RBC model with Money. Readings/Ref: BB Resources ; Williamson (Ch. 12); Kurlat (Ch. 10-11) Learning outcomes: L01, L02, L03, L04, L05 |
Mid Sem break (23 Sep - 29 Sep) |
No student involvement (Breaks, information) |
No classes during the break |
Week 10 (30 Sep - 06 Oct) |
Lecture |
Money in the Short Run New Keynesian model Readings/Ref: BB Resources ; Williamson (Ch. 14-15); Kurlat (Ch. 14-15) Learning outcomes: L01, L02, L03, L04, L05 |
Week 11 (07 Oct - 13 Oct) |
Lecture |
Money in the Short Run II No tutorials or consultations on Monday 7 October due to public holiday. You are invited to attend another tutorial for this week only. Learning outcomes: L01, L02, L03, L04, L05 |
Week 12 (14 Oct - 20 Oct) |
Lecture |
The Zero Lower Bound and economic policy New Keynesian model Readings/Ref: BB Resources ; Williamson (Ch. 14-15); Kurlat (Ch. 14-15) Learning outcomes: L01, L02, L03, L04, L05 |
Week 13 (21 Oct - 27 Oct) |
Lecture |
Review Session Learning outcomes: L01, L02, L03, L04, L05 |
Policies and procedures
University policies and procedures apply to all aspects of student life. As a UQ student, you must comply with University-wide and program-specific requirements, including the:
- Student Code of Conduct Policy
- Student Integrity and Misconduct Policy and Procedure
- Assessment Procedure
- Examinations Procedure
- Reasonable Adjustments - Students Policy and Procedure
Learn more about UQ policies on my.UQ and the Policy and Procedure Library.