30L202 :Intermediate Macroeconomics: Dynamic Models and Policy

General info

Instruction language English
Type of Instruction Lectures, tutorials, simulation game (Lecture schedule)
Type of exams Written exam and team paper (Examination schedule)
Course load:6 ECTS credits
Registration:via Blackboard
Blackboard InfoLink to Blackboard (When you see 'Guest are not allowed in this course', please login at Blackboard itself)


dr. B.J.A.M. van Groezen (Coordinator)

prof. dr. H.A.A. Verbon

A. Maji


The goal of this course is to further develop the student’s macroeconomic way of reasoning, with special attention for dynamic policy issues at an intermediate level. At the end of the course, the student

  • can apply the dynamic aggregate supply and demand model to current topics and analyse the macroeconomic effects of fiscal and monetary policies,
  • can explain and analyze how politicians can influence the economy based on their own preferences, possibly leading to socially suboptimal outcomes,
  • can explain and analyze how governments can influence the economies of other member countries in a monetary union,
  • can explain and analyze the dynamics of public debt,
  • can explain and analyze the real and monetary effects of economic crises,
  • can use the model of real business cycles to explain economic fluctuations,
  • can explain the distinction between the main schools of macroeconomic thought,
  • can make economically sensible team policy decisions in an interactive environment, report and defend the implemented policies, and criticize the decisions of others.


  • Booms and recessions: static+dynamic aggregate supply and demand, fiscal and monetary policy
  • Endogenous economic policy: political business cycles, policy games, time inconsistency trap
  • Budget deficits and public debt: dynamics, sustainability, stabilization policies
  • Sticky prices and sticky information: new Keynesian responses
  • Real business cycles, microfoundations of macroeconomic models



Compulsory Reading

  1. Gärtner, M., Macroeconomics (5th edition), Pearson Education, 2016, ISBN 978-1-292-11520-7.
  2. Additional readings (available on Blackboard).

Recommended Prerequisites

Macroeconomics 1, Macroeconomics 2, Mathematics 1, Microeconomics 1

Compulsory for

Recommended option for