ECON 202Open-Economy Macroeconomics
Applications of an open economy macroeconomic model to macroeconomic issues and policy, including the interdependence of macroeconomic activity and markets, the roles of expectations variables and other dynamic adjustment mechanisms, the significance of international events, exchange rate regimes, inflation, unemployment.
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Course details
- Dates
- 7 Jul 2025 to 9 Nov 2025
- Starts
- Trimester 2
- Fees
- NZ$962.40 for
- International fees
- NZ$4,427.55
- Lecture start times
- Wednesday 11.30am
- Friday 11.30am
- Campus
- Pipitea
- Estimated workload
- Approximately 150 hours or 8.8 hours per week for 17 weeks
- Points
- 15
Entry restrictions
Taught by
School of Economics and Finance—Wellington School of Business and Government
About this course
ECON 202 is an intermediate level open-economy macroeconomics course, it provides a more detailed consideration of some of the macroeconomic topics introduced in ECON 140, together with significant new material and perspectives. The course features applications of an open-economy macroeconomic model to macroeconomic issues and policy, including the interdependence of macroeconomic activity and markets, the roles of expectations variables and other dynamic adjustment mechanisms, and the significance of international events, exchange rate regimes, inflation, and unemployment. More detailed analyses of these and other dynamic issues are taken up in ECON 305.
Course learning objectives
Students who pass this course should be able to:
Describe the interdependent nature of key macroeconomic variables and markets, and the dynamics of responses to economic shocks
Analyse goods and financial market behaviour in the basic and extended IS-LM models
Analyse the supply side of a macro-economy: the labour market, wage setting and price determination, natural rates of unemployment
Analyse the IS-LM-PC model with natural output levels, and use it to explain the dynamics of responses to demand-side and supply-side shocks
Understand how expectation affects consumption, investment and output
Explain the interactions of interest rates and exchange rates
Assess the pros and cons of alternative exchange rate regimes, and explain how they provide different adjustment mechanisms for domestic and external economic shocks
Analyse the effects of monetary and fiscal policies and understand their limitations.
How this course is taught
This course is optimised for face-to-face delivery on campus. All lectures will be recorded and available right after the lecture.
The course contains one IN-PERSON test and one IN-PERSON final exam.
Assessment
- IN PERSON exam - examination period Type: IndividualMark: 50%
- Three assignments Mark: 20%
- IN PERSON test - Friday of week 6 Mark: 30%
Assessment dates and extensions
Once you've signed up to this course, you can use to see due dates for assessments and information about extensions.
Mandatory requirements
There are no mandatory requirements for this course.
Lecture times and rooms
What you’ll need to get
Required texts
When you take this course, you must get these texts.
Title: Macroeconomics
Edition: 8th Edition
Authors: Olivier Blanchard
Publisher: Pearson
Who to contact
Selected offering
ECON 202
7 Jul–9 Nov 2025
Trimester 2 · CRN 1196