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DEPARTMENT OF ECONOMICS

ECO202Y5Y (LEC9101) – SUMMER 2021

MACROECONOMIC THEORY AND POLICY MICHAEL HO

ONLINE SYNCHRONOUS LECTURES: TUESDAY & THURSDAY 11 AM – 1 PM

ONLINE SYNCHRONOUS TUTORIALS: THURSDAY 4 – 6pm

ONLINE OFFICE HOURS: TUESDAY & THURSDAY 10: – 11 AM

COURSE OBJECTIVES:

This course will focus on the study of macroeconomics, monetary economics, economic stabilization, capital markets and international monetary economics. Theories of output, employment and the price level in closed and open monetary economies are described; and the costs and benefits of stabilization policies in the context of these theories are identified.

REQUIRED COURSE MATERIAL:

Macroeconomics (5 th Canadian Edition), by Olivier Blanchard and David Johnson (ISBN: 9780132164368). Please be aware that should you choose to use an earlier version of this textbook, you are responsible for noting the differences between the earlier edition you choose to use and the edition used by this course

PREREQUISITES & EXCLUSIONS:

Prerequisites: ECO100Y5 (63%) and a CGPA of 2.0

Prerequisites are strictly checked and enforced and must be completed before taking a course. By taking this course you acknowledge that you will be removed from the course at anytime if you do not meet all requirements set by the Department of Economics. For further information can be found in the 2020 − 2021 Academic Calendar: https://student.utm.utoronto.ca/calendar.

Corequisite: MAT133Y5/MAT134Y5/(MAT132H5,MAT134H5)/135Y5/(MAT135H5,MAT136H5)/137Y5

Exclusions: ECO208Y5/ECO209Y5

GRADE ALLOCATION:

Term tests: June 3 and July 15. Two term tests 20% each, group project 20%, and final examination 40%. These tests are non-cumulative. The final examination will be held during the final examination period in August and will be cumulative. Group project with 3000 words on the analysis of Canadian macro variables to be submitted on August 12 (no late submission will be accepted). Each group can have at most six members.

POLICY ON MISSED TEST/EXAM:

Students who miss a test because of circumstances beyond their control (e.g. illness or an accident) can request that the Department grant them special consideration. The following steps must be completed in order to be considered for academic accommodation for any missed test.

1. Your absence must be declared on ACORN on the day of the missed test, or by the day after, at the latest.

2. You must notify your professor by e-mail within one week of the missed test.

3. Complete an online Special Consideration Request within one week of the missed test. The University is temporarily suspending the need for a doctor’s note or medical certificate for any absence from academic participation if you are experiencing COVID-19 symptoms. However, this policy may change at any point during the course. If you missed your test for a reason connected to your registered disability, the department will accept documentation supplied by Accessibility Services. If you visited a Dentist, Nurse/Nurse Practitioner, Physician/Surgeon, Psychologist, Psychotherapist or Social Worker registered and licensed in the Province of Ontario, have them fill out the University’s Verification of Student Illness or Injury form. In other cases, a Verification of Extenuating Circumstances form is acceptable. Other documentation can include, but is not limited to, automobile collision or police reports, death certificates, and supporting documentation from employers, lawyers and other related personnel. Please email your form to [email protected].

4. Consult the Office of the Registrar should your absence be lengthy or affect multiple courses.

The written explanation and documentation that you submit represents an appeal from you, requesting the opportunity to account for that portion of your grade in some other manner. If an appeal is not received, or if the appeal is deemed unacceptable, you will receive a grade of zero for the item you missed. If the appeal is granted – that is, your reason for missing the item is considered acceptable by the professor – then students will be eligible for a makeup test within three weeks of the missed test. Note that it is your responsibility to ensure that your email account is working. Claims that a Departmental decision was not received will NOT be considered as a reason for further consideration. Note that holidays and pre-purchased plane tickets, family plans, your friend’s wedding, lack of preparation, or too many other tests/assignments are not acceptable excuses for missing a quiz, a test or an item of term work.

Following the Registrar Office procedures on petition for deferred examinations when students miss the final examination (see https://www.utm.utoronto.ca/registrar/current-students/petitions#deferred for details), students who cannot complete their final examination due to illness or other serious causes must file an online petition within 72 hours of the missed examination. Late petitions will NOT be considered. Students must also record their absence on ACORN on the day of the missed exam or by the day after at the latest. Upon approval of a deferred exam request, a non-refundable fee of $70 is required for each examination approved. Students CANNOT petition to re-write a quiz/test once the test has begun. If you are feeling ill, please do not start the online, seek medical attention immediately, and the Policy on Missed Test/Exam will apply.

TIME ZONE INFORMATION:

All lecture times, tutorial times, exam times, deadlines, etc. are stated in local Toronto time. Please note that Toronto adheres to Eastern Daylight Time until Sunday, November 7, 2021, 2:00 am, followed by Eastern Standard Time until Sunday, March 13, 2022, 2:00 am, followed again by Eastern Daylight Time. It is your responsibility to correctly convert local Toronto time to your time zone: we will not accept confusion about deadlines as an excuse for lateness or missed tests/work.

POLICY ON RELIGIOUS OBSERVANCES:

As a student at the University of Toronto, you are part of a diverse community that welcomes and includes students, staff, and faculty from a wide range of backgrounds, cultural traditions, and spiritual beliefs. For my part, I will make every reasonable effort to avoid scheduling tests, examinations, or other compulsory activities on religious holy days not captured by statutory holidays. Further to University Policy, if you anticipate being absent from class or missing a major course activity (like a test, or in-class assignment) due to a religious observance, please let me know as early in the course as possible, and with sufficient notice (a minimum of three weeks is recommended), so that we can work together to make alternate arrangements. For more information about the University of Toronto’s Policy on Scheduling of Classes and Examinations and other Accommodations for Religious Observances please review the University’s Religious Accommodation Overview. It is the policy of the University of Toronto to arrange reasonable accommodation of the needs of students who observe religious holy days other than those already accommodated by ordinary scheduling and statutory holidays. As with any academic accommodation request, students must submit an on-line Special Consideration Request at https://utmapp.utm.utoronto.ca/SpecialRequest.

ACADEMIC INTEGRITY/HONESTY OR ACADEMIC OFFENSES:

Honesty and fairness are considered fundamental to the university's mission, and, as a result, all those who violate those principles are dealt with as if they were damaging the integrity of the university itself. When students are suspected of cheating or a similar academic offence, they are typically surprised at how formally and seriously the matter is dealt with -- and how severe the consequences can be if it is determined that cheating did occur. The University of Toronto treats cases of cheating and plagiarism very seriously. Examples of offences for which you will be penalized include (but are not limited to):

• Using any unauthorized aids on an exam or test (e.g., "cheat sheets," cell phones, electronic devices, etc.)

• Representing someone else's work or words as your own -- plagiarism

• Falsifying documents or grades

• Purchasing an essay

• Submitting someone else's work as your own

• Submitting the same essay or report in more than one course (without permission)

• Looking at someone else's answers during an exam or test

• Impersonating another person at an exam or test or having someone else impersonate you

• Making up sources or facts for an essay or report.

As a student it is your responsibility to ensure the integrity of your work and to understand what constitutes an academic offence. If you have any concerns that you may be crossing the line, always ask your instructor. Your instructor can explain, for example, the nuances of plagiarism and how to use secondary sources appropriately; he or she will also tell you what kinds of aids -- calculators, dictionaries, etc. -- are permitted in a test or exam. Ignorance of the rules does not excuse cheating or plagiarism.

It is your responsibility as a student at the University of Toronto to familiarize yourself with, and adhere to, both the Code of Student Conduct and the Code of Behaviour on Academic Matters. This means, first and foremost, that you should read them carefully. This information is taken from a series of University of Toronto policies written to help students understand the university's rules and decision-making structures. To view these policies, please go to www.governingcouncil.utoronto.ca/policies.htm. All of the policies and procedures surrounding academic offences are dealt with in one policy: "The Code of Behaviour on Academic Matters." The full text is located in the back of this calendar. Students should also thoroughly review the information at the Academic Integrity web page https://www.utm.utoronto.ca/academic-integrity/.

• The Code of Student Conduct is available from the U of T Mississauga website (Registrar > Academic Calendar > Codes and Policies) or in your print version of the Academic Calendar.

• The Code of Behaviour on Academic Matters is available from the U of T Mississauga website (Registrar > Academic Calendar > Codes and Policies) or in your print version of the Academic Calendar.

Another helpful document that you should read is “How Not to Plagiarize,” by M. Proctor.

COMMUNICATIONS:

All announcements (besides those made during lectures) will be posted on Quercus. Check for updates on a daily basis. I prefer handling questions in person during office hours or lectures rather than through email. Email should be for emergency only and I will only respond to email sent through UTOR email account for record-keeping and identification purposes. Put “ECO202” in the message title as this will help draw my attention to your email. Email should not be seen as a means to receive private tutorial or review material that was covered in class but you missed.

TECHNOLOGY:

In order to take this course, you will need reliable and regular access to a laptop/desktop; a cell phone is NOT sufficient. You will also need reliable and regular access to high-speed internet. See the University’s Recommended Technology Requirements for Remote/Online Learning for more details. Read also the UTM Library UTM Library Learn Anywhere resource website.

USE OF COURSE MATERIALS:

This course, including your participation, will be recorded on video and will be available to students in the course for viewing remotely and after each session. Course videos and materials belong to your instructor, the University, and/or other sources depending on the specific facts of each situation, and are protected by copyright. In this course, you are permitted to download session videos and materials for your own academic use, but you should not copy, share, or use them for any other purpose without the explicit permission of the instructor. For questions about recording and use of videos in which you appear please contact your instructor.

To be specific, I use document camera (to replace the whiteboard in the classroom) along with audio to deliver my lectures and all lectures will be recorded through Bb Collaborate on Quercus. There is no need for anyone to turn on video. Hence, only audio of students will be in the recordings if they ask question during a lecture.

IMPORTANT:

Besides reading the required chapters in the textbook, attending lectures tutorials are mandatory because a significant portion of term tests and the final examination come from materials discussed in lectures and tutorials. It is imperative not to fall behind because most students will not be able to catch up once they have fallen behind. Even though each lecture is recorded and available for one week, the quality of the recording may not be at par with “live” online lecture. Office hours should not be considered as a means to catch up on missed lecture or private tutorial.

COURSE CONFLICTS:

Students are not to take classes where scheduled lectures, tutorials and/or laboratories conflict with scheduled lectures, tutorials and laboratories in other courses in which they have already enrolled. In order to succeed, students must fulfill the attendance requirements of each class as set by the professor on the course syllabus. When planning their schedules, students are expected not to enroll in two or more courses, tutorials or practicals that are held at the same time. Where a student has enrolled in courses with conflicting lectures, tutorials, and/or laboratories, they may not receive accommodations for conflicting tests or exams, assignments, lecture material, in-class participation, labs, etc.

EQUITY STATEMENT AND ACADEMIC RIGHTS:

The University of Toronto is committed to equity and respect for diversity. All members of the learning environment in this course should strive to create an atmosphere of mutual respect. As a course instructor, I will neither condone nor tolerate behaviour that undermines the dignity or self-esteem of any individual in this course and wish to be alerted to any attempt to create an intimidating or hostile environment. It is our collective responsibility to create a space that is inclusive and welcomes discussion. Discrimination, harassment and hate speech will not be tolerated. If you have any questions, comments, or concerns you may contact the UTM Equity & Diversity Office at [email protected].

You, as a student at UTM, have the right to:

• obtain a course syllabus either through accessing a copy on Quercus, through the UTM Timetable (accessible through the Office of the Registrar website), or one can be provided by the instructor. The course syllabus must be available/provided at the beginning of a course;

• rely upon the information detailed within a course syllabus. An instructor may only change methods of evaluation, or their relative weight, by following the University Assessment and Grading Practices Policy Provision Part B: 1.3.

• refuse to use turnitin.com (you must be offered an alternative form of submission);

• have access to your instructor for consultation during a course, or follow up with the unit Chair or Director if the instructor is unavailable;

• ask the person who marked their term work for a re-evaluation if they feel it was not fairly graded. Students must make any inquiries about the mark on a graded piece of work within one month of the return date of the work. If the student is not satisfied with a re-evaluation, they may appeal to the instructor in charge of the course if the instructor did not mark the work. If the student’s work is remarked, they must accept the resulting mark. They may only appeal a mark beyond the instructor if the term work was worth at least 20% of the course mark. See Re marking Pieces of Term Work of this document for full details of the process;

• receive at least one significant mark (weighted at 15% for H courses, 25% for Y courses) by the last scheduled class prior to the academic drop deadline (the academic drop date), with one exception: for courses that run the entire Fall/Winter Session (Y5Y or H5Y courses), the deadline shall be the last regular class meeting of the first week of classes in January;

• submit handwritten essays, so long as they are neatly written;

• have no assignment worth 100% of the student’s final grade;

• not have a term test or combination of term tests in an individual course be worth greater than 25% in the last two weeks of class;

• retain intellectual property rights to their term work;

• receive all their assignments, tests, and other term work once graded;

• view their final exams. To see a final exam, students must submit an online Exam Reproduction Request within 6 months of the date of the exam. There is a small non- refundable fee (please note that this process is overseen by the Office of the Registrar);

• privacy of their final grades; and

• arrange for representation from Downtown Legal Services (DLS), a representative from the UTM Students’ Union (UTMSU), and/or other forms of support if they are charged with an academic offence.

COPYRIGHT STATEMENT:

Please be advised that the intellectual property rights in the material referred to on the course syllabus [and posted on the course site] may belong to the course instructor or other persons. You are not authorized to reproduce or distribute such material, in any form or medium, without the prior consent of the intellectual property owner. Violation of intellectual property rights may be a violation of the law and University of Toronto policies and may entail significant repercussions for the person found to have engaged in such act. If you have any questions regarding your right to use the material in a manner other than as set forth in the syllabus, please speak to your instructor.

This implies that if a student wishes to record, photograph, or otherwise reproduce lecture presentations, course notes or other materials provided by instructors, teaching assistants, or students of the course, the instructors’, teaching assistants’ and students’ written consent must be obtained beforehand. Otherwise, all such reproduction is infringement of copyright and prohibited.

STUDENT RESOURCES:

We understand that the academic year can be stressful for students, especially when dealing with personal and/or academic issues. The University of Toronto offers various support services and resources you can turn to for help; a list is available at University of Toronto Resources. We highlight two resources below.

Accessibility

Students with diverse learning styles and needs are welcome in this course. In particular, if you have a disability/health consideration that may require accommodations, please feel free to approach me and/or Accessibility Services as soon as possible. Accessibility staff (located in Room 2037, Davis Building) are available by appointment to assess specific needs, provide referrals and arrange appropriate accommodations. Please call 905-569-4699 or email [email protected]. The sooner you let us know your needs the quicker we can assist you in achieving your learning goals in this course.

Robert Gillespie Academic Skills Centre

The Robert Gillespie Academic Skills Centre (RGASC) is located in Room 3251 on the third floor of the Maanjiwe nendamowinan Building. The RGASC offers individual consultations, workshops (many CCR accredited), and a wide range of programs to help students identify and develop the academic skills they need for success in their studies. Visit the RGASC website to explore their online resources, book a face-to-face or online appointment, or learn about other programming such as Writing Retreats, the Program for Accessing Research Training (PART), drop-in hours for Mathematics, Writing, and Study Skills, and dedicated resources for English Language Learners.

TOPICS:

1. Introduction: Chapters 1 & 2

2. Short-run Analysis: