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ECO3002 : Advanced Macroeconomics

  • Offered for Year: 2019/20
  • Module Leader(s): Dr Jong Shin
  • Lecturer: Dr Wessel Vermeulen, Professor Giorgio Fazio
  • Owning School: Newcastle University Business School
  • Teaching Location: Newcastle City Campus
Semester 1 Credit Value: 10
Semester 2 Credit Value: 10
ECTS Credits: 10.0


The module develops a set of tools which enables us to think about dynamic (today vs tomorrow) problems relevant to modern economic policy. This includes growth, consumption, business cycle, and monetary and fiscal policy. We pursue a rigorous treatment in the analysis of selected macroeconomic issues. This means we will rely on ‘simple’ abstraction of real world using mathematical devices – starting from certain premises which allows us to simplify complex reality and arrive at some conclusions. This approach has several benefits over those rely mainly on intuition, metaphor and/or anecdotes. First, we are able to identify the mechanisms behind economic phenomenon clearly. Second, therefore, our policy suggestions would be well-founded and sensible. Third, policy debates can be more precise and scientific, rather than consumptive and unproductive.

Outline Of Syllabus

The module covers policy-relevant macroeconomics topics such as:

Economic growth
Micro-foundations of macroeconomic models and market imperfection
Real business cycle model and New Keynesian macroeconomics
Macroeconomic policy – fiscal and monetary

Teaching Methods

Teaching Activities
Category Activity Number Length Student Hours Comment
Guided Independent StudyAssessment preparation and completion164:0064:00N/A
Scheduled Learning And Teaching ActivitiesLecture142:0028:00N/A
Scheduled Learning And Teaching ActivitiesLecture21:002:00N/A
Guided Independent StudyDirected research and reading150:0050:00N/A
Scheduled Learning And Teaching ActivitiesSmall group teaching61:006:00N/A
Guided Independent StudyIndependent study150:0050:00N/A
Teaching Rationale And Relationship

Lectures provide detailed overviews. Seminars provide opportunities to go into greater depth through exercises and discussion.

Assessment Methods

The format of resits will be determined by the Board of Examiners

Description Length Semester When Set Percentage Comment
Written Examination601M25Interim assessment (in-class)
Written Examination1502A75N/A
Formative Assessments
Description Semester When Set Comment
PC Examination2MMock exam provided via Blackboard
Prob solv exercises1MSeminar questions are provided
Prob solv exercises2MSeminar questions are provided
Assessment Rationale And Relationship

The interim assessment in semester 1 is aimed for timely student feedback.
The final written exams will provide evidence of understanding of concepts and ability to analyse economic problems.

Reading Lists