Week 1 notes
Popular in Intermediate Macroeconomics
Popular in Economcs
This 2 page Class Notes was uploaded by Elisa Merten on Saturday January 30, 2016. The Class Notes belongs to ECON1210 at Brown University taught by Assaf Sarid in Winter 2016. Since its upload, it has received 44 views. For similar materials see Intermediate Macroeconomics in Economcs at Brown University.
Reviews for Week 1 notes
Same time next week teach? Can't wait for next weeks notes!
Report this Material
What is Karma?
Karma is the currency of StudySoup.
You can buy or earn more Karma at anytime and redeem it for class notes, study guides, flashcards, and more!
Date Created: 01/30/16
Jan 29 th Book -> macroeconomics Blanchard and Johnson 6 edition United States o Output 14.7 trillion o Output per capita 47300 o Crisis Unemployment went up Inflation went varied up and down Output went down Defecit is going down but debt has been rising Euro Area subset of EU o Aggregate numbers mask big difference within the euro area o Suffered through many wars o To avoid other wars create an economic interdependency Creation of Euro No wars since in Europe o Output per capita 36000 o Euro produce 1/5 of world products o Differences between individual countries France/Germany are higher Spain is lower o Crisis Even pre crisis U was high, Y was unimpressive, inflation high After low growth rate , U higher than before, inflation varied Issues today Unemployment Future of the currency union Sovereign debt. (Greece) during crisis this debt rose o Owe money to other countries o Why is Euro Unemployment so high? Short term effects of the crisis Macroeconomic policy high interest rates Effects all the countries which have different systems Fiscal policy is different Labor market institutions and rigidities Unions (differences between countries unions) Wages, vacation days Causes the employers not to hire new workers But unemployment is not high everywhere Not seen in US Same rules, language, easy mobility Fiscal policy is the same Cannot happen easily in Europe China o Output 5.8 trillion o Output per capita 4,300 o Share of world output 9.3% o Labor productivity is LOW o Crisis Out put growth high stayed the same and now is growing slower Unemployment rose during crisis from 2.7 4 Inflation was really high and dropped then during crisis fluctuates World differences o Until 1820 the world was relatively equal in output per capita o Industrial revolution happened Math review o Account balance in a year X * (1 + r) o 2 years X * (1 + r)^2 o See growth rate with the log scale o
Are you sure you want to buy this material for
You're already Subscribed!
Looks like you've already subscribed to StudySoup, you won't need to purchase another subscription to get this material. To access this material simply click 'View Full Document'