UNIVERSITAS INDONESIA

FAKULTAS EKONOMI & BISNIS

DEPARTEMEN ILMU EKONOMI
PROGRAM STUDI S-1 REGULER

SYLLABUS
MACROECONOMICS 1
Even Semester 2016/2017

No. Lecturers Assistants

Maddaremmeng
1 A.Panennungi (Koord.)
Tjhjanto Budisatrio / Rima
2 Prama Artha
3 Sartika Djamaluddin
4 M. Shauqie Azar (Bhs. Inggris)
5 Nanda Nurridzki
6 Dhaniel Ilyas (Bhs. Inggris)
7 Maria Agriva
Ninasapti Triaswati / Dewi
8 Meisari
9 Niniek L. Gyat
10 Widyanti Soetjipto
Eldo Malba Simanjuntak
Ahmad Fahriza
Alvin Ulido
Teuku M. Riefky Hasan
Goldy Fariz Dharmawan
M. Alvin Prabowosunu
Filza Amalia
Goldy Fariz Dharmawan
Estiana Cahyawati
Luh Putu Ratih K. D.

Subject Code ECEU600201

Subject Title MACROECONOMICS 1
Credit Value 3
Year/Semester I/2
Subject Type Compulsory (Faculty)
Pre-requisite/ Pre-requisite: Introductory Macroeconomics (Principles of Economics
Co-requisite/ Part 2)
Exclusion
Role and This subject aims to provide an understanding of development in
Purposes Macroeconomics theory and issues. The main topics covered in this
subjects are: macroeconomic indicators, the fundamental of aggregate
supply and demand-both in the closed economy and open economy. In
addition, it also introduces growth theories, a wide range of
applications and various macroeconomic policies in the context of the
Indonesian economy. The learning methods used are active learning.
Discussion on the materials use approaches of quantitative and
graphical analysis, and also using empirical case studies.
Subject Learning Outcomes
Objectives of the Subject :
1. Hard Skills (related to increased cognitive ability)
2. Explain main indicators and data of macroeconomics; GDP, inflation, and
unemployment - (C2, A2).
3. Explain classical macroeconomic theory: national income - (C2, A2).
4. Explain classical macroeconomic theory: money and inflation - (C2, A2).
5. Apply short-run business cycle theory on goods and money market,
aggregate demand and aggregate supply in both close and open economy -
(C3, A3).
6. Apply the aggregate supply model (C3, A3).
7. Apply growth theory in macroeconomics - (C3, A3).
8. Apply long run macroeconomic theory in open economy - (C3, A3).
9. Apply long run macroeconomic theory in open economy for unemployment
issue - (C3, A3).
10. Apply consumption theories in macroeconomics -(C3, A3).
11. Apply investment theories in macroeconomics -(C3, A3).
12. Discuss issues and debate in macroeconomic policies -(C3, A3).

Soft Skills (related to personality development)

i) Developing qualitative analytical skill
ii) Development of presentation skills / public speaking
iii) The development of group collaboration skills
iv) There Developing confidence / morbidly

AACSB Learning Goal (LG) and Learning Objective (LO)

GENERAL KNOWLEDGE OF 6.1. Demonstrate 6.1.4. Explain the

ECONOMICS: Students knowledge in theories of different types of
understand economics Economics macroeconomic theories
concept
6.1.5. Apply
mathematical approach
to explain
macroeconomics issues

Subject Synopsis/
Indicative Syllabus
This syllabus integrates the macroeconomics under the long run, the very long
run, and the short run condition. However, the flow of the material is set based
on the following order: (1) long run, (2) short run, and (3) very long run. In
addition, there is also additional parts that concerns on microeconomic
foundation of the consumption and investment; macroeconomic policy debates
on stabilization and governments debt; and latest development the financial
crisis and the rise of the new macroeconomic theories. In each session, lecturer
will encourage the students to understand both of the theory and the empirics of
the topics.

Week
s Topics Material Reference
 Economic Model,
Macroeconomics, and
how this syllabus
proceeds it
M:1, 2
Introducing differences
Introduction: of economy under long
Understanding run, short run, and very
what is long run assumption
macroeconomi Measurement of the
1 cs, Economic Activities in
D:1, 2
macroeconomi Gross Domestic Product
c indicators (Economic Growth)
and their data Measurement of
measurements Changes of the Living
Costs in Price Index
(Inflation)
Measurement of
Joblessness in
Unemployment Rate
Production (Supply of
Goods and Services):
Production Function,
What Determines the
Production and How the
Production Distributed
Expenditure (Demand of
Goods and Services):
The Economy
What Determines the
in the Long
2 Demand for Goods and M:3
Run: National
Services
Income
Market for Goods and
Services: Supply and
Demand for Goods and
Services
Market for Financial
Markets: Supply and
Demand for Loanable
Fund
Definition of Money
What is the Quantity
Theory of Money
The Economy Seigniorage and the
in the Long Government Behavior
3 M:4,5
Run: Money Inflation and Interest
and Inflation Rates
Demand for Money
Inflation, Hyperinflation,
and Their Social Costs
4 The Economy International Movement M: 6
in the Long of Goods&Services and D:7,13-16
Run: Open Capital
 Saving and Investment
Under Small Open
Economy Economy
Exchange Rates

Natural Rate of
M: 7
The Economy Unemployment
in the Long Frictional
D:7,13-16
5 Run: Unemployment
Unemploymen Real Wage Rigidity and
t Structural
Unemployment
Introduction to the
Business Cycle
6 Goods&Services Market M:10-11
and Money Market:
The Economy Building the IS-LM Model
in the Short Application of the IS-LM:
Run: IS-LM and Monetary Policy, Fiscal
AD-AS under Policy, and Trade Policy
Closed IS-LM as Theory of
Economy Aggregate Demand (AD)
7 Assumption M:12
Aggregate Demand (AD)
and Aggregate Supply
(AS): The Short Run vs
The Long Run
Equilibrium
UTS
The Economy Small Open Economy
in the Short
and the Exchange Rate
Run: IS-LM and
8 Regime: The Mundell- M: 13
AD-AS under
Open Economy Fleming
Assumption
The Models of
The Economy
Aggregate Supply
in the Short
Phillips Curve: the
9 Run: Theory of M: 14
Aggregate Short-Run Tradeoff
Supply Between Inflation and
Unemployment
10, The Economy Economic Growth Part 1:
11 in the Very Capital Accumulation,
Long Run: Savings and Population M:8,9
Economic Growth (Solow Model)
Growth
Economic Growth Part 2: D:3, 4
Including Technological
Changes (Solow Model)
and the Solow Growth
Accounting
 Beyond Solow Model:
Introducing Endogenous
Growth Theory and
Advances in Business
Cycle Theory

Empirics of Economic
Growth and Several Key
Issues in Economic
Growth (Inclusive
Growth and Sustainable
Growth)
Keynes Consumption
M: 16
Function
Fishers Intertemporal
Choice
(17.1,
Mogdiglianis Life-Cycle
17.3, 17.4,
Consumption Hypothesis
12 17.5)
Theory
Friedmans Permanent
Income
Halls Random-Walk
Hypothesis
Laibsons the Pull of
Instant Gratification
Business Fixed
Investment,
Investment Residential
Theory and Investment,
And Inventory M: 18, 19
13 Macroeconomi
Investment D: 11, 17
c Policy
Debates Stabilization Policy and
Governments Debt

What does the financial

system do?
The Global Financial
TBD
Financial Crisis Crises
14 Behavioral
Macroeconomics

UAS

Teaching/Learning Methodology
Teaching method uses active lecturing and class discussions, in which students
achieve the study objectives by discussing and completing related problems or
cases under the guidance of lecturer and tutor. The problems and cases are
taken from the textbook and other sources.
Participation:
Individually, each student is required to participate actively in teaching and
learning, in the form:
1. Ask questions in accordance with the topic.
2. Prepare yourself to answer questions.
3. Discuss issues related to the topic.
To be eligible, students must read the textbooks and other materials provided.

Attendance:
Minimum 80% of Total Lecture:
1. A maximum of 3 (three) times absent, for no reason.
2. Students who came 15 minutes after class begins is considered not present.

Assessment Method in Alignment with Intended Learning Outcomes

Description SIAK NG SIANSI (AACSB)

Traits 1 Traits 2
Mid Examination 30% 50% 50%
Details of The specific learning methods used in this subject are:
learning Final1.Examination
Class Discussion 30% 50% 50%
methods 2. Lecturing
Group3. and 30% (collaborative learning)
Learning Cooperation
Individual
Schedule of Assessments
Assistance or Tutorial
Tutorials will be held 10%
10 times in this semester. Tutor will give
Lab (similar to assignments, homework and quizzes that its weight has been
the schedule ofTotaldetermined at the previous
100 point.100 100
teaching
faculty)
Student Study
Effort Expected Class
contacts:
Lectures 20 Hours

Tutor 20 Hours
Collaborati 10 Hours
ve Learning
Presentation 5 Hours
Other student study effort outside the class:
Preparation for assignment/tests 10 Hours
Reading List Required Readings:
and References 1. Mankiw, N.Gregory. 2012. Macroeconomics, 8th Ed. New York:
Worth Publishers (M).
2. Dornbusch, Rudiger, Stanley Fischer, dan Richard Startz. 2010.
Macroeconomics, 11th Ed. New York: McGraw-Hill Irwin (D).

Plagiarism Students should maintain originality and respect intellectual property

rights. Therefore, students should avoid conducting any act of
plagiarism when doing written assignments (if any), which may take a
form of short individual / group paper and / or summary.

The followings are acts of plagiarism:

Copying paragraphs, sentences, a single sentence, or even a
significant part of a sentence directly without enclosing them in
quotation marks and appropriately footnoted;
Using and / or developing others ideas found in printed
materials or film elsewhere without explicitly referencing them
to the respective author or the source of the idea.

Plagiarism is a serious infringement of intellectual property rights. Any

assignment that contains presumed plagiarism will be marked 0 (zero).

Since students are required to write group papers, students should

sign a Statement of Authorship and attach it to their papers before
paper submission. The form of Statement of Authorship is available at
the Resource Center of the Program. Lecturer(s) and / or tutor(s) will
refuse to mark any paper that has no signed Statement of Authorship
attached.

In addition, students should ask for cover sheet from the Resource
Center of the Program for any assignment submitted.

Sanction for plagiarism :

First time: paper will be grade F
Second time: final grade for the specific course will
be grade F
Third time: expelled from Department of Economics
FEB UI
 Rubric for Problems

Example: The following equations describe an economy.

Y =C + I +G C=120+0.5 ( Y T ) I =10010 r G=50 T =40
M d
( )
P
=Y 20 r M =600 P=2
a) Identify each of the variables and briefly explain their meaning.
b) From the above list, use the relevant set of equations to derive the IS
curve. Graph the IS curve on an appropriately labeled graph.
c) From the above list, use the relevant set of equations to derive the LM
curve. Graph the LM curve on the same graph you used in part (b).
d) What are the equilibrium level of income and equilibrium interest rate?
Criteria
Unsatisfactory/ Exemplary/
Satisfactory/
Traits Unacceptable Distinguished
Successful (2)
(1) (3)
LG: Basic Competence / LO 1: Apply technical competence in basic economics
Cannot explain the Fairly explain the Able to explain the
(T1) Explain the
different types of different types of different types of
different types of
macroeconomic macroeconomic macroeconomic
macroeconomic
theories. theories. theories. theories
comprehensively.
LG: Basic Competence / LO 3: Apply basic quantitative methods by using
appropriate tools
(T2) Apply Cannot apply Fairly apply Able to apply
mathematical mathematical mathematical mathematical
approach to explain approach to explain approach to explain approach to explain
macroeconomics macroeconomics macroeconomics macroeconomics
issues issues issues issues