1. API 120: Macroeconomic Policy Analysis I
Jeffrey Frankel,
Harpel Professor of Capital Formation and Growth
Harvard Kennedy School
COURSE OVERVIEW

2. Teaching Fellow: Tilahun Emiru
Course Assistants: Jing Zhao & ________
Faculty Assistant: Minoo Ghoreishi, Belfer
Lectures: L140, Mon. & Wed., 2:40-4:00 pm (& Fri., 9/6/13)
Review Sessions: Fri., 8:40-10:00  & 10:10-11:30 am, L140 
Final exam: Monday, Dec.16, 2 p.m.- 5 p.m.
If you can’t take the exam that day, or the mid-term, don’t take the course.
Grading : Problem sets 25% (8 of them), mid-term exam 25%; final exam 50%.
Who can take the course?
MPA/IDs, for whom it is designed.
One or two others, to whom I have given permission, and at their own risk.

3. Class meeting guidelines
The same expectations for classroom conduct reviewed in other MPA/ID classes apply here too.
E.g., be on time.
Use name placards.
Fixed seating chart, same as in other classes.
Drop boxes for all MPA/ID assignments
on 2nd floor of Littauer behind the Forum Screen.
Assignments must be turned in by 1pm on the day they are due.  
Assignments will be returned via mail folders in the MPA/ID area.
Problem set handouts will be placed at both sides of the classroom. 
Lectures will start on time.

4. Topics: Devaluation and the Trade Balance The Mundell-Fleming Model
III. Money and Inflation
IV. Purchasing Power Parity
V. Small Open Economies
VI. Exchange Rate Regimes
VII. Integration of Financial Markets
VIII. Exchange Rate Determination
IX. Emerging Markets
X. Portfolio Diversification

5. APPENDIX 1: Overview of Models & Assumptions

6. Empirical Evidence

7. Overview of Models and Assumptions (concluded)

8. Appendix 2: Lectures by Topic

9. Lectures by Topic (continued)

10. Lectures by Topic (continued)