Some facts in business-cycle Real-business-cycle theory's explanation to some important economic variables Explanation to the fluctuations of output, consumption investment Explanations to employment fluctuation Explanations to monetary fluctuation Evaluation to Real-business-cycle theory

Main Idea Nominal Rigidity nominal price rigidity nominal wage rigidity Real Rigidity Real price rigidity Real wage rigidity Unemployment, Economic Cycle and Policy Suggestion

Introduction to New Classical Theories R.lucas Supply Function Rational Expectations and R.lucas Criterion Policy Implications Comparisons between New Classical and Keynesian Theories

Topics to be Discussed 11.1 Summary Initial research about the economic growth The definition about the economic growth Weighing standard about the economic growth Headspring of the economic growth Economic growth and economic development

Content A simple closed model The static solution of simple model Basic concepts of disequilibrium theory

5.1 The Goods Market Equilibrium and IS Curve 5.2 Financial Markets and LM Curve 5.3 Goods and Financial Markets: IS- LM Model

Topics to be Discussed National Income Accounting and the Balance of Payments other concepts The determination of exchange rate floating exchange rate system Fixed exchange rate system Trade environment and policy o Summary of the open economy

9.1 Decision of investment 9.2 Investment function 9.3 Inventory investment& Investment in residential structures

8.1 Keynesian consumption function 8.2 A simple two-period model 8.3 Consumption theory after Keynes Permanent-income Hypothesis Life-style Hypothesis 8.4 Real interest& decision-making- between consumption and saving

Topics to be Discusses Aggregate Demand (AD) Function Aggregate Supply (AS) Function AS-AD Model Price Changes and Determination of Output Price Adjustment Process