1. Text
Introduction to EC4004
Macroeconomics Lecture 13

2. Micro. O-vah.

3. Macro Weeks 7 - 12

4. #

5. Ready?

6. 6.7 Billion

7. 300 born

8. Every.

9. Minute.

10. 1/10 Born to
Teenagers

11. #

12. 16/300

13. <5.

14. 1 Mother will die

15. 40,000 per month

16. 2.3 billion tons of
carbon dioxide

17. Per Month.

18. 1/2

19. 3 Tonnes

20. 3 Tonnes

21. $65.61 trillion

22. 2%

23. 30%

24. 4%

25. 10% is Arable.

26. 250,000km

27. 322 Boundaries

28. 194 independent
states and 70
dependencies

29. Ethnicity

30. Culture

31. Race

32. Language

33. 8.6 million refugees

34. 87%

35. 66

36. /<#>

37. Macroeconomics

38. Study of Economy as
a whole

39. ?

40. All Households

41. All Firms

42. Government

43. Measure Output
Each Year

44. Produce
Consume
Invest
Export
Import

45. GDP: Sum of all final goods
and services produced in the
economy

46. Example.

47. 10* Guns
20* Butter
Pguns = €10
Pbutter = €5
Value of output:
10*10+20*5 = 200

48. Growth of GDP

49. Growth rate of real GDP for year t
=
(( Yt− Yt−1)/ Yt−1)− 1
Multiply by 100 to get the growth rate
of real GDP in percent per year.

50. Example:
Y2006=105;
Y2005=100
Growth Rate = 105-100/100-1*100
=5%

51. Real GDP

52. Multiply each year’s quantity of output of
each good by the price of the good in a base
year.
GDP in constant Euros
Chain-weighted real GDP

53. (nominal GDP)/(implicit price level) =
real GDP
or
implicit price level = (nominal GDP)/
(real GDP)

54. www.gapminder.org

55. 086 399 83 06

56. Next Time
Growth Theory
Read Barro Chapters 2&3

57. Introduction to EC4004
Macroeconomics Lecture 13