Leveraging a diagram from the New York Times to look at trends in inflation adjusted income since 1980. Discussion of possible levers that could be driving the trends. Created by Sal Khan.

The expenditure and tax multipliers depend on how much people spend out of an additional dollar of income, which is called the marginal propensity to consume (MPC). In this video, explore the intuition behind the MPC and how to use the MPC to calculate the expenditure multiplier. Created by Sal Khan.

15.015 Macro and International Economics focuses on the policy and economic environment of firms. This subject divided in three parts. The first part of the course is a study of the closed economy and how monetary and fiscal policy interacts with employment, GNP, inflation, and interest rates. Next, the course provides an examination of national economic strategies for development and growth and recent financial and currency crises in emerging markets. Finally, the course addresses the problems faced by transition economies and the role of institutions both as the engine of growth, and as the constraints for policy.

The basic machines of macroeconomics. Ramsey, Solow, Samuelson-Diamond, RBCs, ISLM, Mundell-Fleming, Fischer-Taylor. How they work, what shortcuts they take, and how they can be used. Half-term subject.

Models of economic growth, old and new. Half-term subject. Introduction to the theories of economic growth. Topics will include basic facts of economic growth and long-run economic development; brief overview of optimal control theory and dynamic programming; basic neoclassical growth model under a variety of market structures; human capital and economic growth; endogenous growth models; models with endogenous technology; models of directed technical change; competition, market structure and growth; financial and economic development; international trade and economic growth; institutions and economic development.

This curriculum covers a broad range of economic concepts and models. Students will learn foundational concepts like scarcity, opportunity cost, marginal analysis, and distinguishing between positive and normative claims. Core microeconomic topics include supply and demand, elasticity, market efficiency, consumer/producer surplus, and government intervention. Macroeconomic topics span GDP, unemployment, inflation, business cycles, growth, fiscal policy, monetary policy, and stabilization tools.

The microeconomics section builds an understanding of how individual buyers and sellers interact in markets. Students analyze supply and demand equilibria, surpluses, and shortages. Elasticity concepts are applied to understand how quantity supplied and quantity demanded respond to price changes. Market outcomes are evaluated using consumer/producer surplus and efficiency criteria. The effects of government price controls and taxes are analyzed.

The macroeconomics portion develops models to explain economy-wide outcomes. Students learn to calculate GDP, unemployment rates, inflation, and price indices. The AD-AS model illustrates macro equilibrium and the causes of business cycles, inflation, and stagnation. The Keynesian and Neoclassical frameworks are compared. Fiscal and monetary policies are explored as stabilization tools, with analysis of their mechanisms, limitations, lags, and appropriate applications.

International economics connects micro and macro concepts. Using theories of comparative advantage, students evaluate the impacts of trade and trade policies on consumers, producers, and the macroeconomy. The determinants of exchange rates and trade balances are analyzed.

This curriculum provides both theoretical frameworks and practical applications of economics. Students build analytical and mathematical skills for modeling and evaluating economic outcomes. Policy tradeoffs are examined from multiple perspectives. Upon completion, students will be equipped with core microeconomic and macroeconomic ways of thinking to apply in their careers and lives.

The intended audience of the textbook is first-year undergraduates taking courses on the principles of macroeconomics and microeconomics. Many may never take another economics course. We aim to increase their economic literacy both by developing their aptitude for economic thinking and by presenting key insights about economics that every educated individual should know.

Macroeconomics examines the fundamentals of the American economy as it relates to social welfare. Emphasis is on basic economic concepts and theories as they effect domestic and international markets. This course integrates behavioral social sciences to present solutions to real world problems. Macroeconomics includes measurements of GDP, fiscal and monetary policy.

An equilibrium exists in a market when there is no pressure for the market price to change. Learn about what it means for a market equilibrium to exist, and how to identify a market equilibrium in a market model. Created by Sal Khan.

Going through the mechanics of how a Thai financial institution can lose their shirt when their currency devalues. Created by Sal Khan.

Generalizing what we did in the last video with more math. Created by Sal Khan.

Moderate amounts of inflation are common in healthy economies, so some inflation may actually be a good sign. Learn why in this video. Created by Sal Khan.

Monetary policy is the use of the money supply to affect key macroeconomic variables, such as real GDP. This video focuses on how a central bank can use open market operations and reserve requirements to enact monetary policy to close output gaps.

Most people assume that the government prints money, and that is how money is created. That is not entirely true. Watch this video to find out the role that banks play in the creation of the money supply.

In this video, learn about the two measures of money that are part of the money supply: M1 and M2. Topics include what is included in M1 and M2 and the monetary base (which is sometimes called M0). Created by Sal Khan.

Examples showing how various factors can affect interest rates. Created by Sal Khan.

If you make some cloth and someone uses that cloth to produce something else, how does that show up in the calculation of GDP? In this video, learn how GDP deals with intermediate goods. Created by Sal Khan.

The market for loanable funds brings savers and borrowers together. We can also represent the same idea using a mathematical model. In this video, learn about the savings and investment identity.

Economists typically focus on three kinds of unemployment: cyclical, frictional, and structural. Learn about them, and how they relate to the business cycle, in this video.