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Macroeconomics 101

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This section outlines the core topics taught in an introductory macroeconomics course.
  1. Introduction to Economics
  2. Measuring an Economy's Output and Income
  3. Unemployment and the Labor Market
  4. Income Distribution
  5. Money and the Money Supply
  6. Inflation
  7. Interest Rates
  1. Exchange Rates
  2. Aggregate Demand and Aggregate Supply
  3. Business Cycles
  4. Fiscal Policy and Spending
  5. Monetary Policy
  6. The Financial System

Introduction to Economics

This section provides a very basic introduction to the field of economics and prepares students and readers to move on to the other sections of the site.

Measuring an Economy's Output and Income

How do we measure the size of the economy? And why do economies grow... or fail to grow?

Unemployment and the Labor Market

An examination of unemployment, the unemployment rate and jobs. How are jobs created and destroyed in an economy? Why do we have unemployment?

Income Distribution

How is income distribution calculated in a society?

Money and the Money Supply

What is money, what counts as money, and how is money measured?

Inflation

What causes the overall level of prices in an economy to rise... or fall?

Interest Rates

Interest Rates play an important role in economics, as they affect purchasing and consumption decisions made by consumers, firms and governments.

Exchange Rates

Another concept introduced early in economics is exchange rates - particularly exchange rates between currencies. But where do these values come from? Why is the U.S. dollar worth what it is?

Aggregate Demand and Aggregate Supply

This section contains articles that introduce the aggregate demand/aggregate supply model of the macroeconomy.

Business Cycles

This section introduces how economists view and measure the positive and negative short-term fluctuations in the economy.

Fiscal Policy and Spending

How does government spending impact the economy? Can fiscal policy be used as a mechanism to promote economic growth?

Monetary Policy

How does the government conduct monetary policy? What effect does it have on the economy?

The Financial System

How does the banking system work? What are capital markets?

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