Why do economies sometimes experience recessions, characterized by declining output and rising unemployment? What factors contribute to persistent high unemployment rates in some countries, while others consistently maintain full employment? Recently, we have seen a forceful return of inflation – why is this happening? Additionally, what role can economic policy play in combating negative output growth, unemployment, and inflation? To systematically and transparently explore these questions (and many others), "Macroeconomics I" will develop a coherent and highly tractable theoretical framework using a step-by-step approach. This framework, known as the IS-LM-PC model, will also be applied towards the end of the course to analyze macroeconomic policy during the recent pandemic, among other real-world scenarios.

To attend the course / exercise, registration via e-learning platform OLAT is required. Registration is possible from 3 – 28 February 2025. The students themselves are responsible for checking the creditability of the course to their course of study.

Direct link to OLAT course: to follow

- Required materials: eight handouts, a problem set, and an assignment (published on OLAT).
- The course is based on the textbook Macroeconomics by Olivier Blanchard (2017, 7th edition)