The objective of this short course is to provide participants with a basic appreciation of the principal concepts of macroeconomics with emphasis on their application to public policy analysis. To do this the course will help participants develop an appreciation of:
• the nature of economic aggregates by providing a primer on basic concepts that underpin the macroeconomy;
• the role of government in (a) providing the statutory framework (eg the Public Finance Act 1989, the Reserve Bank of New Zealand Act 1989) and (b) shaping the decisions of individuals and firms through its role in savings, investments, tax and welfare and foreign exchange; and
• the micro foundations of macroeconomics by recognising that all outcomes in the macroeconomy are the results of decisions taken by households and firms.
• the key elements of monetary and fiscal policy with particular reference to the policy responses to Covid-19.