ECON102: Principles of Macroeconomics (2021.A.01)

Welcome to ECON102: Principles of Macroeconomics

Specific information about this course and its requirements can be found below. For more general information about taking Saylor Academy courses, including information about Community and Academic Codes of Conduct, please read the Student Handbook.

Course Description

Explore the factors that affect the overall performance of economies, with a focus on how public policies help and hinder the achievement of intended outcomes, such as reducing unemployment or increasing trade.

Course Introduction

Economists divide their discipline into two areas of study: microeconomics and macroeconomics. In this course, we introduce you to the principles of macroeconomics, the study of how a country's economy works, while trying to discern among good, better, and best choices for improving and maintaining a nation's standard of living and level of economic and societal well-being. Historical and contemporary perspectives on the role of government policy surround questions of who gains and loses within a small set of key interdependent players. These beneficiaries include households, consumers, savers, firm owners, investors, government officials, and global trading partners.

While in microeconomics we focus on how supply and demand determine prices in a given market, in macroeconomics we focus on changes in the price level across all markets. The main goals for the macroeconomy are to achieve economic growth, price stability, and full employment.

Macroeconomic performance relies on measures of economic activity, such as variables and data at the national level, within a specific period of time. Macroeconomics analyzes aggregate measures, such as national income, national output, unemployment and inflation rates, and business cycle fluctuations. In this course, we prompt you to think about the national and global issues we face, consider competing views, and draw conclusions from various perspectives, tools, and alternatives.

This course includes the following units:

• Unit 1: Introduction to Economics
• Unit 2: Macroeconomics: Gross Domestic Product, Inflation, and Unemployment
• Unit 3: Aggregate Demand and Aggregate Supply
• Unit 4: Aggregate Equilibrium and Economic Growth
• Unit 5: Money, Banking, and Monetary Policy
• Unit 6: Fiscal Policy and the Relationship Between Inflation and Unemployment
• Unit 7: International Trade and Finance

Course Learning Outcomes

Upon successful completion of this course, you will be able to:

• describe the determinants of total output and the ways to measure nominal and real Gross Domestic Product (GDP);
• differentiate among full employment and unemployment, and the three forms of unemployment;
• define inflation and explain ways of computing the general movement in prices;
• explain the model of aggregate demand and aggregate supply and the way the equilibrium price level and real GDP are determined;
• analyze a government use of fiscal policy to stabilize the economy;
• define money, its role in the economy, and the way money is created in the banking system;
• evaluate how the U.S. Federal Reserve uses monetary policy to influence key variables in order to achieve economic growth, price stability, and full employment;
• apply fiscal policy to resolve economic issues and stimulate economic growth;
• analyze the relationship between inflation and unemployment and the attitudes of various schools of thought towards active management of the economy; and
• analyze capital flows and their impact on the foreign exchange market and the aggregate economy.

Throughout this course, you will also see learning outcomes in each unit. You can use those learning outcomes to help organize your studies and gauge your progress.

Course Materials

The primary learning materials for this course are articles, lectures, and videos.

All course materials are free to access and can be found in each unit of the course. Pay close attention to the notes that accompany these course materials, as they will tell you what to focus on in each resource, and will help you to understand how the learning materials fit into the course as a whole. You can also see a list of all the learning materials in this course by clicking on Resources in the navigation bar.

Evaluation and Minimum Passing Score

Only the final exam is considered when awarding you a grade for this course. In order to pass this course, you will need to earn a 70% or higher on the final exam. Your score on the exam will be calculated as soon as you complete it. If you do not pass the exam on your first try, you may take it again as many times as you want, with a 7-day waiting period between each attempt. Once you have successfully passed the final exam you will be awarded a free Course Completion Certificate.

There are also end-of-unit assessments and other quizzes in this course. These are designed to help you study, and do not factor into your final course grade. You can take these as many times as you want until you understand the concepts and material covered. You can see all of these assessments by clicking on Quizzes in the course's navigation bar.

Earning College Credit

This course is eligible for college credit via Saylor Academy's Direct Credit Program. If you want to earn college credit, you must take and pass the Direct Credit final exam. That exam will be password protected and requires a proctor. If you pass the Direct Credit exam, you will receive a Proctor Verified Course Certificate and be eligible to earn an official transcript. For more information about applying for college credit, review the guide to college credit opportunities. Be sure to check the section on proctoring for details like fees and technical requirements.

There is a 14-day waiting period between attempts of the Direct Credit final exam. There is no waiting period between attempts for the not-for-credit exam and the Direct Credit exam. You may only attempt each Direct Credit final exam a maximum of 3 times. Be sure to study in between each attempt!

Tips for Success

ECON102: Principles of Macroeconomics is a self-paced course, which means that you can decide when you will start and when you will complete the course. There is no instructor or an assigned schedule to follow. We estimate that the "average" student will take 60 hours to complete this course. We recommend that you work through the course at a pace that is comfortable for you and allows you to make regular progress. It's a good idea to also schedule your study time in advance and try as best as you can to stick to that schedule.

Learning new material can be challenging, so we've compiled a few study strategies to help you succeed:

• Take notes on the various terms, practices, and theories that you come across. This can help you put each concept into context, and will create a refresher that you can use as you study later on.
• As you work through the materials, take some time to test yourself on what you remember and how well you understand the concepts. Reflecting on what you've learned is important for your long-term memory, and will make you more likely to retain information over time. 

Technical Requirements

This course is delivered entirely online. You will be required to have access to a computer or web-capable mobile device and have consistent access to the internet to either view or download the necessary course resources and to attempt any auto-graded course assessments and the final exam.

• To access the full course including assessments and the final exam, you will need to be logged into your Saylor Academy account and enrolled in the course. If you do not already have an account, you may create one for free here. Although you can access some of the course without logging in to your account, you should log in to maximize your course experience. For example, you cannot take assessments or track your progress unless you are logged in.
• If you plan to attempt the optional Direct Credit final exam, then you will also need access to a webcam. This lets our remote proctoring service verify your identity, which is required to issue an official transcript to schools on your behalf.

For additional guidance, check out Saylor Academy's FAQ.

Fees

This course is entirely free to enroll in and to access. Everything linked in the course, including textbooks, videos, webpages, and activities, is available for no charge. This course also contains a free final exam and course completion certificate.

This course also has an optional final exam that can give you an opportunity to earn college credit. This exam requires the use of a proctoring service for identity verification purposes. The cost for proctoring for this optional exam is $25 per session.