中山大学岭南学院 中级 宏观经济学 macroeconomics reviews2.pptVIP

Macroeconomics Reviews----Cen Hui Outlines Ⅰ (Ⅰ)Basic concepts and relations (Ⅱ)Very long run economic growth (Ⅲ)Business cycle (Ⅳ)Macroeconomic policy theory： 　　ⅰ Three objectives of macroeconomic 　　ⅱ Stabilization policy 　　ⅲ Debates Outlines Ⅱ (Ⅴ)More on microeconomics behind macroeconomics 　　　ⅰConsumption 　　　ⅱInvestment (Ⅰ)Basic concepts and relations Three very important Definition. (ⅰ)GDP VS GNP (ⅱ)Price index (ⅲ)Unemployment rate (ⅰ)GDP VS GNP Gross domestic product (GDP) is the market value of all final goods and services produced within a country in a given period of time. Gross national product GNP is the total income earned by a nation’s permanent residents (called nationals). Disposable (Personal) Income YD　= National Income ? Personal Taxes (Direct Taxes) ? (Net Business Saving) + Transfer Payments VS (2-3 the second paragraph has told you in the text book we will disregard Depr.) How to measure GDP? Production approach —— Value added Expenditure approach: Equivalence of three approaches (ⅱ)Price index CPI or PPI measures the overall cost of services and goods bought by a typical consumer or producer. The GDP deflator, also called the implicit price deflator for GDP, is defined as the ratio of nominal GDP to real GDP. CPI PPI VS GDP deflator Distinctions: 1) CPI or PPI :fixed basket (kinds and quantities); GDP deflator: varied weights 2) CPI or PPI :small basket; GDP deflator :large basket 3) CPI or PPI :can include imports GDP deflator: excludes imports Calculation for price indexes——CPI Calculation for price indexes——GDP deflator Let’s make 2000 the base year, how to calculate the GDP deflator in 2010? Recall that Nominal GDP=60,000*120+20*400,000 =15,200,000 Real GDP=50,000*120+10*400,000 =10,000,000 GDP deflator =15,200,000/10,000,000 *100=152 (ⅲ)Unemployment rate (Ⅱ)Very long run economic growth (ⅰ)How to measure the growth rate (1)Def.1: compound in