1. 1
Contents of Macro Economics
• PartⅧ The data of Macro economics
– Chapter23 Measuring Nation's Income
– Chapter24 Measuring the Cost of Living
• PartⅨ The Real Economy in the long Run
– Chapter25 Production and Growth
– Chapter26 Saving,Investment,and the Financial System
– Chapter27 The Basic Tools of Finance
– Chapter28 Unemployment
• PartⅩ Money and Prices in the Long Run
– Chapter29 Monetary System
– Chapter30 Money Growth and Inflation

2. 2
Contents of Macro Economics
• PartⅩⅠ The Macroeconomics of Open Economies
– Chapter31 Open-Economy Macroeconomics:Basic Concepts
– Chapter32 A Macroeconomic Theory of the Open Economy
• PartⅩⅡ Short Run Economic Fluctuations
– Chapter33 Aggregate Demand and Aggregate Supply
– Chapter34 The Influence of Monetary and Fiscal Policy on Aggregate
Demand
– Chpter35 The Short-Run Trade-off between Inflation and Unemployment
• PartⅩⅢ Final Thoughts
– Chapter36 Six Debates over Macroeconomics Policy

3. 3
Ten Principles of Economics
Ⅰ.How People Make Decisions.
1:People Face Trade-offs.
2:The Cost of Something Is What You Give Up to Get It.
3:Rational People Think at the Margin.
4:People Respond to Incentives.
Ⅱ.How People Interact.
5:Trade Can Make Everyone Better Off.
6:Markets Are Usually a Goodway to Organize Economic Activity.
7:Governments Can Sometimes Improve Market Outcomes.
Ⅲ.How the Economy as a Whole Works
8:A Country's Standard of Living Depends on its Ability to Produce Goods and Services.
9:Prices Rise When the Government Prints Too Much Money.
10:Society Faces a Short-Run Trade-off between Inflation and Unemployment

4. 4
Chapter23 Measuring a Nation's Income
1. The Economy's Income and Expenditure
2. The Measurement of Gross Domestic Product
3. The Components of GDP
4. Real versus Nominal
5. Is GDP a Good Measure of Economic Well-Being?

5. 5
MicroEconomics and MacroEconomics
■Microeconomics:the study of how individual households and firms make
decisions and how they interact with one another in markets.
■Macroeconomics:
the study of economy as a whole.
Paul Krugman
Ben Bernanke
John Forbes Nash
Amartya Sen
John Maynard Keynes
Milton Friedman

6. 6
Diverse Questions from MacroEconomist
• Why is average income high in some countries while it is
low in others?
• Why do prices sometimes rise rapidly while at other times
they are more stable?
• Why do production and employment expand in some years
and contract in others?
• What can the government do to promote rapid growth in
incomes,low inflation,and stable employment?

7. 7
Various Macroeconomic Indicators
• GDP
• Inflation rates
• Money Stock
• Interest rates
• Exchange rates
• Stock rates
• Unemployment rates
• Economic Growth rates
etc

8. 8
1. The Economy's Income and Expenditure
Firms
House Hold
Markets fotr
factors of
production
Markets for
goods and service
Flow of money
Flow of inputs and outputs
Factors of production
Wage,rent,and
profit(=GDP)
Income
(=GDP)
Labor,land
and capital
Revenue
(=GDP)
Spending
(=GDP)
Goods and
services bought
Goods and
service sold

9. 9
2.The Measurement of Gross Domestic Product
Gross domestic product(GDP) is the market
value of all final goods and service
produced with in a country in a given period of time
GDPとは、ある一定期間において、ある国で生産された
すべての最終の財・サービスの市場価値(付加価値合計額)
である。

10. 10
Meanings of GDP
①"GDP is the market value"
②"of all"
③"Final"
④"goods and service"
⑤"produced"
⑥"with in a country"
⑦"in a given period of time"

11. 11
Example of GDP measurent
生産主体
生産総額
中間投入
石油輸入
付加価値
農家
20
0
5
15
製粉所
40
20
10
10
製パン会社
80
40
15
25
計
140
60
30
50
・GDPは50兆円となる。
・生産総額140兆円では20兆円と40兆円がダブルカウントされている。
・パンの最終的な合計価格は80兆円だが、そのうちの30兆円分は石油の輸入
による。
・日本国内での付加的には50兆円しか価値を作っていない。

12. 12
3 The components of GDP
Y= C + I + G + NX(=EX-IM)
①Comsumption:
Spending by house hold on goods and service.
②Investment:
The purchase of goods that will be used in the future to produce
more good and services.
③Government Purchases:
Spending on goods and Services by local,state,
and federal governments.
④Net exports:
The foreign purchase of domestically produced goods(exports)
minus the domestic purchases of foreign goods(imports)

13. 13
The components of Real GDP in Japan
単位：10億
GDP 2010/4-3.
539,122
民間最終消費支出
306,839
民間住宅
12,534
民間企業設備
73,584
民間在庫品増加
-1,773
政府最終消費支出
102,984
公的固定資本形成
18,966
公的在庫品増加
222
純輸出
26,856
輸出
85,169
輸入
58,312

15. 15
4. Real versus Nominal GDP
If total spending rises from one year to the next
①the economy is producing a larger output of goods and
services
②goods and services are being sold at higher prices.
→Economists want to separate these two effects.
・Real GDP:Using constant base year prices to place value on
the economy's production of goods and services.
・Nominal GDP:Using current prices to place value on the
economy's production of goods and services.

16. 16
A Numerical Example
year
price of
hot dogs
Quantity of hot
dogs
price of
Hamburgers
Quantity of
Hamburgers
2010
(base year)
¥100 100
¥200
50
2011
¥200 150
¥300 100
2012
¥300 200
¥400 150
hot dogs
Hamburgers
sum
① 2010
10,000
10,000
20,000
② 2011
30,000
30,000
60,000
③ 2012
60,000
60,000
120,000
100,000
100,000
200,000
hot dogs
Hamburgers
sum
④ 2010
10,000
10,000
20,000
⑤ 2011
15,000
20,000
35,000
⑥ 2012
20,000
30,000
50,000
45,000
60,000
105,000
Calculating Nonimal GDP
Calculating Real GDP（base year＝2010)
・Our goal is to gauge how well the overall
economy's production of goods and
services.
・Real GDP is a better gauge of economic
well-being than is nominal GDP.

17. 17
GDP deflator
GDP deflator =
Nominal GDP
Real GDP
×
100
■Nominal GDP and Real GDP
Nominal GDP：reflecting both the quantities of goods and services
the economy is producing and the prices of those goods and services.
Real GDP：reflecting only the quantities produced.
■GDP deflator measures
・the current level of prices relative to the level of prices in the base year
・the average level of prices in the economy and thus the rate of inflation.
■GDP deflator

18. 18
5 Is GDP a Good Measure of
Economic Well-Being?
・GDP excludes almost all activities transacted by out of markets.
・GDP does not explain a distribution of income at all.
・GDP excludes the quality of the environment

19. 19
Measuring the Cost of Living
1. The Consumer Price Index
2. Correcting Economic Variables for the Effects of Inflation

20. 20
Which enjoyed
a higher standard of Living?
In 1931, paid ＄80,000
In 2011, paid ＄33million

21. 21
1.Consumer Price Index
How the CPI is Calculated
Step
1) Fix the basket
2) Find the prices
3) Compute the basket's cost
4) Choose a base year and compute the index
5) Compute the inflation rate
CPI=
Price of basket of goods and services in current year
Price of basket in base year
Inflation rate in year2=
CPI in year2-CPI in year 1
CPI in year1
×100
×100

22. 22
Numerical example of CPI

23. 23
Problems in Measuring the cost of Living
• Substitution Bias
– CPI ignores the possibility of consumer substitution
• Introduction of new goods
– CPI does't reflect the increaes in the value of the dollar that arises
from the introduction of new goods.
• Unmeasured quality change
– Quality is so hard to measure

24. 24
GDP deflator VS CPI
object
comparison
CPI
the prices of all goods and
services produced
domestically
the price of basket in
the base year
GDP deflator
the prices of all goods and
services bought by consumers.
the price of currently
produced goods services
to the price of the same
goods and service in the
base year.

25. Time series of CPI in Japan

26. 26
2. Correcting Economic Variables
for the Effects of Inflation
• Dollar figures from different times
Amount in today's dollars=Amount in year T dollars×
Price level today
Price level in year T
Salary in 2009 dollars =Salary in 1931 dollars×
Price level 2009
Price level in 1931
=＄80,000×
214.5
15.2
=＄1,128,947

27. 27
Real and Nominal Interest rates
Real interest rate=Nominal interest rate-Inflation rate
(Fisher formula )

28. 28
Our Strategy in the Upcoming Chapters
1. Looking at the long run determinants of real GDP related
variables:saving,investment,real interest rate,and
unemployment
2. Looking at the long run determinants of the price level
related variablels:money supply,inflation,and nominal interest
rates.
3. Examing the more complex question of what causes short-
run fluctations in real GDP and the price level.

29. 29
Conclusion：
What is a role of MacroEconomics
生活する中で我々は「なんとなく」は経済の状況がわかる。
しかし、エコノミストや政策立案者はこの「なんとなく」以上のものが求められる。
そのためにはGDPといった統計指標で経済の動向を計量化することが第一歩
である。
(1987年のクラッシュの後）ある指導的な
銀行家がこうたずねた。
「いったい、街のどこに血の跡が残っている
というのかね。」
まったく的を射た表現である。
第12代連邦準備制度理事会(FRB)議長ポール・ボルカー

30. 30
Appendix1:マクロエコノミックコンセンサス
1. マクロ経済の生産、支出、所得の指標である実質GDPが、マクロ経済の経済厚生を測る最
も重要な尺度である。
2. GDPの長期的な水準(潜在GDP)は、基本的に資本蓄積、労働力、生産技術による決定され
る。特に、技術革新が経済成長の原動力となる。
3. 何らかの市場メカニズムの限界で、実際のGDPが潜在GDPを一時的に下回る不況に陥るこ
とがある。その場合、財政政策や金融政策などのマクロ経済政策によって総需要を刺激し、
実際のGDPを潜在GDPにまで引き上げることは、理論的にも、実際的にも十分に正当化で
きる。
4. しかし、マクロ経済政策には、潜在GDP自体を増大させる効果がまっくない。それにも関わ
らず、過度なマクロ経済政策によって、潜在GDPを維持しようとすると、マクロ経済は激しい
インフレーションに見舞われる。その意味で財政政策や金融政策の節度を保つことが重要
である。
齋藤ほか(2009)「マクロ経済学」有斐閣より

31. 31
Appendix2:ディスカッションテーマ例
・経済成長は人々の幸福につながるのか？
・GDPに含まれない要因をどのように評価すればよいのか？
・何が経済を成長させるのか？

32. 32
Appendix3:マクロ経済学は存在しない??
「現在の学界においてマクロ経済学という学問分野は
事実上存在していない」
加藤涼(2007)「現代マクロ経済学講義）P５」

33. 33
Appendix4:参考文献
(読み物)
小島寛之(2010)「使える！経済学の考え方」ちくま新書
齊藤誠他(1999)「経済政策とマクロ経済学」日本経済新聞社
アカロフ/シラー(2009)「アニマルスピリッツ」東洋経済
ダイアンコイル(2008)「ソウルフルな経済学」インターシフト
(教科書)
中谷巌(2009)「入門マクロ経済学」日本評論者
細野薫(2009)「今こそ学ぼうマクロ経済学」日本評論者
齊藤誠他(2009)「マクロ経済学」
清水谷諭(2005)「期待と不確実性の経済学」日本経済新聞社
加藤涼(2007)「現代マクロ経済学講義」
D.Romer(2004)「Advanced Macro Economics」McGRAW HiLL