A2 MACROECONOMICS

Introduction to macroeconomics
The Economic Cycle
Uses of National Income Data
The problems with GDP
Unemployment
Inflation
The non accelerating inflation rate of unemployment
Calculating a Weighted Index
Quantity theory of money
and Deflation
Macroeconomic Models

Fiscal Policy
Crowding out
Supply-Side Policies
Monetary Policy
- Milton Friedman and monetarism
- Monetary transmission mechanisms
- Central Banks
- The role of expectations
Exchange Rate Policy
Globalisation
Multinationals
Comparative advantage and absolute advantage
Protectionist policies
World Trade Organisation (WTO).
The Balance of Payments
- The Terms of Trade
The City of London
Exchange Rate Systems
- Determination of exchange rates in free markets
- The Gold Standard
- History of the UK v US dollar exchange rate
- The J Curve
The European Union (EU)
- The Euro