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Principles of Macroeconomics

Fall, 2015
Rutgers University Camden
Economics Department
Course Syllabus


Course Title:  Principles of Macroeconomics (50:220:103:01), Index number (06452)

Prerequisites:  None

Day Time Place: Tuesday and Thursday (8:00 AM to 9:20 AM) ATG, Room 201   

Instructor:  Robert Vaden               
                     Email: robert.vaden@rutgers.edu  
                     Phone: 856 803 4632

Required Texts: Macroeconomics. Campbell McConnell, Stanley Brue, and Sean Flynn; 20th Edition, McGraw-Hill. (Paperback)

Note: Reading and studying the text are very important for learning and understanding the course material.  There is no substitute for spending a significant amount of time reading and studying the assigned chapters.  Also, following current economic events and developments will be useful in learning and understanding the course material.  

Recommended Reading: The student should supplement the course material with readings from the following as time permits: The Economists, The Wall Street Journal, The New York Times Business Section,.  

Course Catalog DescriptionNational income and how it is determined; consumption, investment, and government spending; the monetary system; control of inflation and unemployment; international exchange; alternative economic systems 

Course Overview: This course is the introductory course in macroeconomics.  The course introduces and covers in detail traditional macroeconomic topics such as the business cycle, unemployment, inflation, and the national income and product accounts, which include Gross Domestic Product (GDP).

The course will begin with a formal introduction to the study of economics and a discussion of the strengths and limitation of a market or capitalistic economy.  The role of supply and demand and how a market economy works will be covered in this part of the course.  

We will also discuss in detail monetary and fiscal policy and key current economic issues such as the nation’s large national debt and the factors contributing to it. Topics will also include the slow economic recovery from the last recession, and issues related to the Federal Reserve Board and monetary policy.  

Course Objectives:  

  • Introduce the student to the formal study of economics and show the student how an understanding of economics can help them in day-to-day living and in understanding the world around them.
  • Provide an indepth study of the major topics in macroeconomics.
  • Provide the student with a knowledge of the official data sources of the key economic data such as the national income and product accounts, which include GDP, labor force statistics, and information on the business cycle from the National Bureau of Economic Research.
  • Improve the student’s understanding of current economic trends and events and how they impact the nation’s politics.
  • Promote a lasting student interest in economics and the economy.

Grades:  There will be two tests and a final exam.  Note that all tests and the final exam are cumulative. This means that each test and the final exam will include all material covered to date. In calculating your final grade, each of the three exams will make up one- third of the course grade.  

Final grades will be assigned as follows: 90+ = A; 84-89 = B+; 78-83 = B; 72-77= C+; 66-71=C: 60-65= D; less than 60 = F.    

Make-up tests will be given on an individual basis.  All make-up tests must be taken within two weeks of the scheduled exam date.  It is the student’s responsibility to arrange and schedule a make-up exam when required.

“Pop” or unannounced tests will be given and included in the calculation of your final grade. .

Class participation is welcomed, encouraged and will be considered in your final grade.    

Attendance: Attendance is strongly encouraged. However, you are allowed three (3) absences. The student is responsible for all material missed when absent.  Attendance will be considered in your final grade. 


Course Outline:  The schedule outlined below is a general guideline and is subject to change.

Week of



‘Aug. 31



Introduction and Overview 


‘Sept. 7


The Market System and the Circular Flow

‘Sept  14


Demand, Supply, and Market Equilibrium

‘Sept’ 21



Demand, Supply, and Market Equilibrium,continued   

An Introduction to Macroeconomics

‘Sept  28



‘Oct. 5


Measuring Domestic Output and National Income

‘Oct 12


Economic Growth

‘Oct 19


Business Cycles, Unemployment, and Inflation

‘Oct 26




Business Cycles, continued                            

Basic Macroeconomic Relationships

‘Nov. 2



‘Nov 9


Aggregate Demand and Aggregate Supply

‘Nov. 16


Aggregate Demand and Aggregate Supply, continued

Last Word: Say’s Law, the Great Depression, and    Keynes. (End of chapter 11         

‘Nov. 23


Fiscal Policy, Deficits, and Debt     Thanksgiving Week 

‘Nov.  30


The Federal Reserve and Monetary Policy (Handouts and select readings from texts)



The Federal Reserve and Monetary Policy, continued Review and Discussion of National Economic Trends



          FINAL EXAM: Date to be determined

Fall, 2015
End of Chapter Discussion/Review Problems
By Chapter

We will go over the problems listed below at the end of each chapter.  The problems will not be taken up but you should work these problems before class as a learning exercise.  You will be responsible for these problems on the scheduled course exams.  





1, 2, 3, 4, 6, 8, 11

1, 2, 3, 6, 7


1, 2, 4, 5, 6, 7, 9, 13

3, 4, 6


1, 2 ,3 ,4 ,5 ,6, 7

1, 2, 3, 4 ,5


1, 2, 3, 4, 5,  8

1, 2, 3, 4, 5


1, 2 ,3, 4, 5, 6, 7, 8, 9, 10, 12

1, 2, 9


1, 2, 3, 4, 5, 6, 7, 8, 9

1, 3, 4, 6, 7, 8.


1, 2, 3, 4, 5, 6, 7, 8, 9, 11

1, 2, 3, 4, 5, 7, 8, 9


1, 2, 3, 4, 5, 6, 7, 8

2, 3, 4, 5, 6, 7, 8, 9


1, 2,4,6, 7,8, 9

2, 4, 6


1, 2 ,4, 7, 8,  9

3, 6