1. Principles of Macroeconomics
Unit 1
Welcome
Econ 202 – Hybrid, Fall 2012

2. Who is Jim Luke?
jimluke.com
econproph.com

3. Who are you?

4. Why are you here?

5. Basics
D2L
Macro.econproph.net
Jimluke.com
Econproph.com

6. What is “the economy”?

7. How's the economy doing?

8. What do we do about it?

9. We'll study “the economy” and policy.
Motivation– The Big Questions
Historical Roots
Macro concerns
Types of Policy Options

10. Schools of Thought in Macroeconomics
Austrian
Neoclassical
Keynesian
Radical or Heterodox

11. Society’s Goals & Challenges for Macroeconomic System
Growth
Stable price level and value of money
Full Employment
Cyclical Stability

12. Why Macro is difficult and complex
Aggregate social science
‘controlled experiments’
Explain & recommend
Models & assumptions
Ideology
not micro summed

13. Easy-to-make errors and fallacies
composition
money
government as household
scale
static institutions