This subject deals with advanced topics in Macroeconomics. It builds upon the foundations developed in the Introductory Macroeconomics subject in the first semester. A simple framework is developed to explain the behavior of macroeconomic variables such as aggregate output general price level, consumption and investment in both the short run and the long run, and in both closed and open economy. We analyze the role of government in policymaking and discuss the effectiveness of monetary and fiscal policies.
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