3/9/2020 ECON 4012 - Macroeconomics IV (H) | Course Outlines

Course Outlines 2020

ECON 4012 - Macroeconomics IV (H)

North Terrace Campus - Semester 1 - 2020
This course serves as an introduction to more advanced methods and theories. Techniques may include a more formal
treatment of comparative statics, dynamics and stability analysis and may involve matrix algebra as well as simple
differential and difference equations. The course typically introduces the student to dynamic stochastic general equilibrium
models and the theory of rational expectations equilibrium as a tool to construct models for policy examination.

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General Course Information

Course Details

Course Code ECON 4012

Course Macroeconomics IV (H)

Coordinating School of Economics

Unit

Term Semester 1

Level Undergraduate

Location/s North Terrace Campus

Units 3

Contact Up to 4 hours per week

Available for N
Study
Abroad and
Exchange

Prerequisites ECON 2506 and ECON 2507

Assumed ECON 3519 or static general equilibrium models & optimisation theory
Knowledge

Restrictions Available only to students enrolled in the Bachelor of Economics (Honours) program

This course serves as an introduction to more advanced methods and theories. Techniques may
include a more formal treatment of comparative statics, dynamics and stability analysis and may
Course
involve matrix algebra as well as simple differential and difference equations. The course typically
Description
introduces the student to dynamic stochastic general equilibrium models and the theory of rational
expectations equilibrium as a tool to construct models for policy examination.

Course Staff
Course Coordinator: Dr Jacob Wong

Course Timetable
The full timetable of all activities for this course can be accessed from Course Planner.

Learning Outcomes
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Course Learning Outcomes

On successful completion of this course, students will be able to:

1. Apply methodology exercised in the study of modern macroeconomics.

2. Form simple theories related to the mechanisms that are regarded as important in the functioning of a
macroeconomy.

University Graduate Attributes

This course will provide students with an opportunity to develop the Graduate Attribute(s) specified below:

Course Learning
University Graduate Attribute
Outcome(s)

Deep discipline knowledge 1,2

informed and infused by cutting edge research, scaffolded throughout their program
of studies
acquired from personal interaction with research active educators, from year 1
accredited or validated against national or international standards (for relevant
programs)

Critical thinking and problem solving 1,2

steeped in research methods and rigor
based on empirical evidence and the scientific approach to knowledge development
demonstrated through appropriate and relevant assessment

Teamwork and communication skills 1,2

developed from, with, and via the SGDE
honed through assessment and practice throughout the program of studies
encouraged and valued in all aspects of learning

Career and leadership readiness 1,2

technology savvy
professional and, where relevant, fully accredited
forward thinking and well informed
tested and validated by work based experiences

Intercultural and ethical competency 1,2

adept at operating in other cultures
comfortable with different nationalities and social contexts
Able to determine and contribute to desirable social outcomes
demonstrated by study abroad or with an understanding of indigenous knowledges

Self-awareness and emotional intelligence 1,2

a capacity for self-reflection and a willingness to engage in self-appraisal
open to objective and constructive feedback from supervisors and peers
able to negotiate difficult social situations, defuse conflict and engage positively in
purposeful debate

Learning Resources
Recommended Resources
Class notes and additional required readings will be posted on the course MyUni website. Books that you may want to
reference during the course include:

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"Mathematics for Economists" - Carl P. Simon and Lawrence Blume
"A First Course in Optimization Theory'' - Rangarajan K. Sundaram
"Dynamic Macroeconomic Theory'' - Thomas Sargent
"Recursive Methods in Economic Dynamics'' - Robert Lucas Jr. and Nancy Stokey (with Edward Prescott)
"Macroeconomic Theory'' - Thomas Sargent
"Recursive Macroeconomic Theory'' - Lars Ljungqvist and Thomas Sargent
"Advanced Macroeconomics'' - David Romer
"Lectures on Macroeconomics'' - Olivier J. Blanchard and Stanley Fischer
"Introduction to Modern Economic Growth'' - Daron Acemoglu"
"Economic Growth'' by Robert J. Barro and Xavier Sala-I-Martin
"Foundations of Interational Macroeconomics'' - Maurice Obstfeld and Kenneth Rogoff
"The Macroeconomics of Self-Fulfilling Prophecies'' - Roger Farmer

Online Learning
Course materials should be made available through the course MyUni website.

Learning & Teaching Activities

Learning & Teaching Modes
Lectures supported by group learning through assignments.
Workload
The information below is provided as a guide to assist students in engaging appropriately with the course requirements.

Students should be prepared to allocate at least 8 hours per week to obtain a working knowledge of the course
material.
Learning Activities Summary
Dynamic Optimization

-The Method of Lagrange and the Method of Kuhn-Tucker

-Dynamic Programming

General Equilibrium Under Certainty

The Overlapping Generations Model

Midterm

Dealing with Linear Difference Equations

Rational Expectations

General Equilibrium Under Uncertainty

Business Cycle Theory

-Real Business Cycle Models

*Simulating models
-Equilibrium Unemployment Theory
-Optimal Taxation

Note : This outline is tentative and I reserve the right to alter the course schedule as the term progresses.

Assessment
The University's policy on Assessment for Coursework Programs is based on the following four principles:

1. Assessment must encourage and reinforce learning.

2. Assessment must enable robust and fair judgements about student performance.
3. Assessment practices must be fair and equitable to students and give them the opportunity to demonstrate what
they have learned.
4. Assessment must maintain academic standards.

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Assessment Summary

Assessment Task Due Weighting Learning

Outcome

Homework: Individual Week TBA 20% 1

Assignments

Mid-term Exam Week 7 30% 1

Final Exam or Research Week TBA 50% 1, 2

Project

Total 100%

Assessment Detail
Each student is to submit his/her own copy of the homework assignments. However, you are strongly encouraged to
work in small groups in order to learn from each other. No late homework will be accepted and there will be no make-up
assignments.
Submission
The dates for the midterm exam and the final exam will be updated for 2019.
The final exam will be cumulative but will emphasize post midterm material. Unless proper documentation is provided,
there will be no make-up midterms and you must write all exams on the scheduled dates. Where appropriate
documentation is provided a make-up assessment will be provided.
Course Grading
Grades for your performance in this course will be awarded in accordance with the following scheme:

M11 (Honours Mark Scheme)

Grade reflects following criteria for allocation of Reported on Official

Grade
grade Transcript

Fail A mark between 1-49 F

Third Class A mark between 50-59 3

Second Class Div A mark between 60-69 2B

B

Second Class Div A mark between 70-79 2A

A

First Class A mark between 80-100 1

Result Pending An interim result RP

Continuing Continuing CN

Further details of the grades/results can be obtained from Examinations.

Grade Descriptors are available which provide a general guide to the standard of work that is expected at each grade
level. More information at Assessment for Coursework Programs.

Final results for this course will be made available through Access Adelaide.

Additional Assessment

If a student receives 45-49 for their final mark for the course they will automatically be granted an additional
assessment. This will most likely be in the form of a new exam (Additional Assessment) and will have the same weight
as the original exam unless an alternative requirement (for example a hurdle requirement) is stated in this semester’s
Course Outline. If, after replacing the original exam mark with the new exam mark, it is calculated that the student has
passed the course, they will receive 50 Pass as their final result for the course (no higher) but if the calculation totals
less than 50, their grade will be Fail and the higher of the original mark or the mark following the Additional Assessment
will be recorded as the final result.

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Student Feedback
The University places a high priority on approaches to learning and teaching that enhance the student experience.
Feedback is sought from students in a variety of ways including on-going engagement with staff, the use of online
discussion boards and the use of Student Experience of Learning and Teaching (SELT) surveys as well as GOS
surveys and Program reviews.

SELTs are an important source of information to inform individual teaching practice, decisions about teaching duties,
and course and program curriculum design. They enable the University to assess how effectively its learning
environments and teaching practices facilitate student engagement and learning outcomes. Under the current SELT
Policy (http://www.adelaide.edu.au/policies/101/) course SELTs are mandated and must be conducted at the conclusion
of each term/semester/trimester for every course offering. Feedback on issues raised through course SELT surveys is
made available to enrolled students through various resources (e.g. MyUni). In addition aggregated course SELT data
is available.

Student Support
Academic Support with Maths
Academic Support with writing and speaking skills
Student Life Counselling Support - Personal counselling for issues affecting study
International Student Support
AUU Student Care - Advocacy, confidential counselling, welfare support and advice
Students with a Disability - Alternative academic arrangements
Reasonable Adjustments to Teaching & Assessment for Students with a Disability Policy

Policies & Guidelines

This section contains links to relevant assessment-related policies and guidelines - all university policies.

Academic Credit Arrangement Policy

Academic Honesty Policy
Academic Progress by Coursework Students Policy
Assessment for Coursework Programs
Copyright Compliance Policy
Coursework Academic Programs Policy
Elder Conservatorium of Music Noise Management Plan
Intellectual Property Policy
IT Acceptable Use and Security Policy
Modified Arrangements for Coursework Assessment
Student Experience of Learning and Teaching Policy
Student Grievance Resolution Process

Fraud Awareness
Students are reminded that in order to maintain the academic integrity of all programs and courses, the university has a
zero-tolerance approach to students offering money or significant value goods or services to any staff member who is
involved in their teaching or assessment. Students offering lecturers or tutors or professional staff anything more than a
small token of appreciation is totally unacceptable, in any circumstances. Staff members are obliged to report all such
incidents to their supervisor/manager, who will refer them for action under the university's student’s disciplinary
procedures.

The University of Adelaide is committed to regular reviews of the courses and programs it offers to students. The
University of Adelaide therefore reserves the right to discontinue or vary programs and courses without notice. Please read
the important information contained in the disclaimer.

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