ECON4330 – International Macroeconomics
Course description
Course content
Emphasis is on how a country’s relations to the rest of the world influence aggregate economic activity, employment and inflation and forms the scope for monetary and fiscal policy.
Included in the course is a thorough introduction to the foreign exchange market and a discussion of world level interactions.
A major part of the course deals with the dynamic effects (effects over time) of economic shocks and policies.
The course prepares the student for taking part in professional discussions about the design of monetary and fiscal policy and for any kind of work where it is important to have a good understanding of macroeconomic fluctuations (e.g. for making predictions of macro variables, for choosing investment where the return depend on macro developments).
Learning outcome
Knowledge
You should know
- how exchange rates, interest rates and capital movements between currencies are determined within different institutional settings for monetary policy (e.g. inflation targeting versus money supply targeting or exchange rate targeting)
- how a country’s current account balance is determined, or, which amounts to the same, how capital movements between countries are determined
- how shocks emanating abroad or in the foreign exchange market affect output, employment, inflation and interest rates
- how the effects of changes in fiscal and monetary policy and of shifts in private sector behavior are modified through the foreign exchange markets and foreign trade
- the role of cost competitiveness in the determination of economic activity
- the different responses to economic shocks in the traded-goods and non-traded goods sectors of the economy
- how effects of policy actions and economic shocks are transmitted from country to country in the world economy
- the merits of different exchange rate systems (fixed versus flexible, monetary unions). In particular you will learn more about the effects over time as flows accumulate to stocks and as the economy moves towards long run equilibrium
Skills
You should be able to
- analyze the effects of macroeconomic events on the future time path of the economy
- analyze how forces inherent in the initial state of the economy will tend to change the economy over time
- discuss how current and future events may influence the exchange rate through expectations
- come up with policy suggestions and consider their effects over time
Competence
You should
- be able to read and understand project reports and journal articles that make use of the concepts and methods that are introduced in the course
- be able to make use of the course content in your own academic work, for example in analyzes that are part of the master’s thesis
Admission to the course
Students admitted to study programmes at UiO must each semester register which courses and exams they wish to sign up for in Studentweb.
Students not admitted to the Master’s programme in Economics or the Master’s programme in Economic Theory and Econometrics (Samfunns?konomisk analyse), can apply for admission to one of our study programmes, or apply for guest student status.
Formal prerequisite knowledge
You must fulfill one of these prerequisites:
- Bachelor`s degree in Economics, or equivalent.
- ECON3220 – Microeconomics 3 / ECON4220 – Microeconomics 3, or equivalent.
Recommended previous knowledge
- Students who do not have ECON4310 – Macroeconomic Theory are advised not to take this course.
Overlapping courses
- 10 credits overlap with S?K420.
- 10 credits overlap with SO?420.
- 10 credits overlap with ECON420.
- 10 credits overlap with ECON420.
Teaching
Lectures and seminars.
The first seminars will be used to review bachelor level knowledge (student presentations), then there will be tutorials and exercises in regard to this course.
Compulsory tuition activities:
A compulsory term paper.
The assignment deadline will be specified in Canvas. If you submit your answer to the assignment, but do not pass, you may get another attempt. The new attempt will have a short deadline.
When the compulsory term paper is approved, the result will be registered. The approved compulsory term paper is valid for 9 semesters, starting with the semester in which it is passed.
See The Faculty of Social Sciences` rules regarding compulsory tuition activities.
Candidates who have passed the course before autumn 2016 and wish to re-take the exam need to get the term paper approved before they can re-take the exam.
Absence from compulsory tuition activities
If you are ill or have another valid reason for being absent from compulsory tuition activities, your absence may be approved or the compulsory activity may be postponed.
At the start of the semester, the course reponsible can update the syllabus list by replacing up to 3 articles, without the scope and thematic content of the syllabus changing significantly.
The syllabus also includes any lecture notes that are made available during the semester.
Examination
A 3-hour written school exam.
You must have passed the mandatory activities in order to sit for the exam.
Previous exams and examiner guidelines
Exam papers with comments from examiner
Examination support material
Usage of a dictionary during the examination is allowed, subject to prior inspection by SV-info.?See guidelines for further details.
Language of examination
The examination text is given in English, and you submit your response in English.
Grading scale
Grades are awarded on a scale from A to F, where A is the best grade and F is a fail. Read more about the grading system.
Resit an examination
If you are sick or have another valid reason for not attending the regular exam, we offer a postponed exam later in the same semester.
See also our information about resitting an exam.
Students who wish to take the exam again in a later semester are not guaranteed that the course will be given with the same content and syllabus, or that the form of assessment will be the same.
More about examinations at UiO
- Use of sources and citations
- How to use AI as a student
- Special exam arrangements due to individual needs
- Withdrawal from an exam
- Illness at exams / postponed exams
- Explanation of grades and appeals
- Resitting an exam
- Cheating/attempted cheating
You will find further guides and resources at the web page on examinations at UiO.