SØK 2300 Economics III - Macroeconomics II - RE-SIT EXAMINATION

APPLIES TO ACADEMIC YEAR 2012/2013

SØK 2300 Economics III - Macroeconomics II - RE-SIT EXAMINATION

Responsible for the course
Erling Steigum

Department
Department of Economics

Term
According to study plan

ECTS Credits
6

Language of instruction
Norwegian

Introduction
This course is an intermediate course in macroeconomics, building on Economics I and II.

Objective
The main objective of this course is to give students a deeper understanding of macroeconomic questions that are important for economic policy in a small open economy like the Norwegian. A central theme is the question: Which economic policy gives the best prospects for sustainable economic growth and macroeconomic stability? Here, the special role of the petroleum revenues for Norwegian fiscal policy will be taken into consideration. The strategy for spending petroleum revenues also has implications for industrial structure and structural policies.

Stabilization policy is another important theme in this course. One issue is fiscal policy rules. Another is the effects of monetary and fiscal policy on inflation and business cycles under flexible exchange rates and high international capital mobility. Special attention will be devoted to flexible inflation targeting as a framework for monetary policy.

Prerequisites
Economics I and II

Compulsory reading
Books:
Steigum, Erling. 2004. Moderne makroøkonomi. Oslo : Gyldendal akademisk. Kapittel 7-8, 9 (ikke 9.3), 10, 11 (ikke vedlegg 11.1), 12-14.

Recommended reading
Books:
Steigum, Erling og Robert G. Hansen. 2005. Hjelper til Moderne makroøkonomi. 2. utg. Oslo : Gyldendal akademisk. 310 sider

Other:
Norges Bank. Siste Pengepolitisk rapport
Siste Nasjonalbudsjett


Course outline
  • Business cycles and demand multiplier models
  • Financial markets and business cycles
  • The interest rate, aggregate demand and stabilization policy
  • Exchange rates, business cycles and macroeconomic policy
  • Inflation and monetary policy
  • Flexible inflation targeting
  • Fiscal policy
  • Spending petroleum revenues and the industrial structure
  • Long-run macroeconomic effects of government debt and wealth
  • Population ageing and fiscal policy

Computer-based tools


Course structure
36 hours with lectures and 6 hours exercises.


Examination
A five hour individual written examination concludes the course.

Examination code(s)
SØK 23001 - Written exam counts 100% of the grade in the course SØK 2300 Economics III - Macroeconomics II, 6 credits.

Examination support materials
BI-approved exam calculator. TEXAS INSTRUMENTS BA II Plus™
Exam aids at written examiniations are explained under exam information in our web-based Student handbook. Please note use of calculator and dictionary. http://www.bi.edu/studenthandbook/examaids

Re-sit examination
This course was lectured for the last time spring 2011. A re-sit exam will be offered every term even spring 2013.

Additional information

Semesters

Translations