macroeconomics - barro chapter 1 1 c h a p t e r 1 thinking about macroeconomics
Post on 18-Dec-2015
256 Views
Preview:
TRANSCRIPT
Macroeconomics - Barro Chapter 1
1
C h a p t e r 1Thinking About Macroeconomics
Macroeconomics - Barro Chapter 1
2
Output, Unemployment, and Prices in U.S. History
Macroeconomics - Barro Chapter 1
3
Output, Unemployment, and Prices in U.S. History
• Growth rate of real GDP for year t=
(( Yt− Yt−1)/ Yt−1)− 1
– Multiply by 100 to get the growth rate of real GDP in percent per year.
Macroeconomics - Barro Chapter 1
4
Output, Unemployment, and Prices in U.S. History
Macroeconomics - Barro Chapter 1
5
Output, Unemployment, and Prices in U.S. History
Macroeconomics - Barro Chapter 1
6
Output, Unemployment, and Prices in U.S. History
Macroeconomics - Barro Chapter 1
7
Output, Unemployment, and Prices in U.S. History
• Inflation rate for year t =
(( Pt− P t−1)/ Pt−1) − 1
Macroeconomics - Barro Chapter 1
8
Output, Unemployment, and Prices in U.S. History
Macroeconomics - Barro Chapter 1
9
Economic Models
• Endogenous variables are the ones that we want the model to explain.
• Exogenous variables are the ones that a model takes as given and does not attempt to explain.
Macroeconomics - Barro Chapter 1
10
Economic Models
Macroeconomics - Barro Chapter 1
11
Economic ModelsThe Coffee Market
Macroeconomics - Barro Chapter 1
12
Economic ModelsThe Coffee Market
Macroeconomics - Barro Chapter 1
13
Economic ModelsThe Coffee Market
Macroeconomics - Barro Chapter 1
14
Economic ModelsThe Coffee Market
Macroeconomics - Barro Chapter 1
15
Economic ModelsThe Coffee Market
Macroeconomics - Barro Chapter 1
16
Economic ModelsThe Coffee Market
Macroeconomics - Barro Chapter 1
17
Economic Models
• Disequilibrium a discrepancy between the quantities of labor demanded and supplied.– New Keynesian model, argues that some
prices are sticky and move only slowly to equate the quantities of goods demanded and supplied.
Macroeconomics - Barro Chapter 1
18
Economic Models
• Equilibrium business-cycle model - basic market-clearing model of economic fluctuations
top related