This course covers the main principles of economic policy, monetary and fiscal policy and other relevant topics. We will learn the main features of the market mechanism and explain how and why market and government failures occur. We  aim to explore and understand why monetary policy matters and how the actions of the central bank affects inflation, prices and GDP.  We also  will explore and explain fiscal policy and government interventions and their economic effects.  Furthermore, in our weekly discussions we will analyze topics that are currently part of heated debates and we will seek to explain the different views behind them. 

After completing this course, students will have an understanding of the basic interplay between markets and governments. They will understand the strengths and weaknesses of markets: What do markets provide (efficiently) that governments do not? What do markets fail to provide that the government must? What tools does the government have to affect markets, or correct for them? After the course, students will be able to answer these questions generally and thematically.  In the second part of the course, questions about the implications of monetary and fiscal policies for welfare, economic growth and labour market outcomes will be explored. The course aims to give students a good understanding not only of theoretical and empirical evidence, but also to enable them to understand everyday news from an economics point of view.

Attendance is mandatory for successful completion of the course. This semester attendance can be completely online if necessary and/or desired.

Lecture, readings, video, analytical exercises of course topics.
Course instruction in English.

The course consists of lectures given by the lecturer and short discussions and presentations by the students on a number of chosen topics. The first five lectures are given by the lecturer. Selection of the topics for the presentations during the semester will happen in the first two lectures. Final exam in the last unit in the end of the term.

The course grade consists of the following elements:

1. Participation in the course discussions (30%)
2. Group Project (short presentation and argumentation) (30%)
3. Final exam  (40%)

A positive result in the final exam, is a necessary precondition for a positive result in the course.

The unexcused absence (present or virtual) in the first lecture results in the loss of an already assigned seat. Therefore: Attendance check in the 1st lecture!

If you have a valid registration for the lecture, but will not participate, please deregister during the registration period of LPIS. Your place will be available for other students.

During the registration period, free places are filled according to the “first-come, first-served” principle. After the end of the registration period, the number of places is increased and students on the waiting list will be registered for the lecture based on their progress in their studies.

Attendance in the first session is necessary, any absence will lead to deregistration! Any remaining places in the classes will be allocated to students attending the first session according to the waiting list. No places will be allocated by email or by phone.

Registration for the lecture cannot be guaranteed. Any student dropping out of the course who has already submitted a gradable task will receive a negative grade.

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apekanov@wu.ac.at; atanas.pekanov@wifo.ac.at