Colleges

Course Description: These courses aim to provide students with an in-depth understanding of the fundamental issues related to fiscal and monetary policy, as well as equip them with the analytical tools necessary to study issues related to economic policies. The course seeks to address both theoretical discussions and practical challenges faced by policymakers, focusing on the role of these policies in achieving economic stability and promoting growth, in addition to analyzing the interactions between the two policies in both a closed and open economy, and the constraints imposed by these interactions on their effectiveness. The course is divided into two main parts; the first part focuses on fiscal policy topics, while the second part addresses monetary policy issues. Regarding fiscal policy, its role in achieving economic stability, promoting growth, and reducing poverty is analyzed, along with its use as a counter-cyclical tool, in addition to reviewing its role within the classical, Keynesian, and new classical theoretical frameworks. As for the monetary policy part, it begins by studying its role within the classical, Keynesian, and monetarist frameworks, then moves to analyzing its role in the basic new Keynesian model. Finally, recent literature dealing with the interaction of monetary policy with the zero lower bound constraint on nominal interest rates within the new Keynesian framework is discussed.