ECON1002 Introductory Macroeconomics
The Complete Exam Bible · S2 2026ECON1002 Overview
- University of Sydney
- S2 2026
- 12 chapters
- Economics
ECON1002 Introductory Macroeconomics is the University of Sydney's first-year companion to micro: it scales up to the whole economy — measuring output with GDP, tracking inflation and unemployment, and asking what drives long-run growth, interest rates and the exchange rate.
- Assessed by Early Feedback Task (EFT) 2% · Online quizzes (4 × 2%) 8% · Tutorial participation + team quizzes + presentation 15% + 2 more
- Key terms Gross Domestic Product (GDP), Real vs nominal GDP / GDP deflator, Fisher equation, Income-expenditure multiplier
- How to prepare Treat ECON1002 as a skills subject won under closed-book conditions, and build two muscle groups in parallel.
- Most asked Is the final exam a hurdle in ECON1002?
How ECON1002 is assessed
| Component | Weight | Format |
|---|---|---|
| Early Feedback Task (EFT) | 2% | Online quiz; 10 MCQ on Week 1 content; 30-min limit; government-mandated for transitional units |
| Online quizzes (4 × 2%) | 8% | Online, OPEN book; 10 MCQ each; 30-min single attempt; cover the 2-3 preceding weeks; AI use discouraged & monitored |
| Tutorial participation + team quizzes + presentation | 15% | In-tutorial; Participation 5% (attend ≥9 tutorials + active team) + Team Quizzes 5% + Team-based individual presentation 5%; fixed teams of ≤6 |
| In-Semester Test (IST) | 25% | In person, CLOSED book, 60 min; ~25 MCQ on a Gradescope bubblesheet; covers Weeks 1-6; non-programmable calculator + printed bilingual dictionary permitted; 4 versions A-D |
| Final exam (end-of-semester) | 50% | In person, pen & paper, CLOSED book, 2 hrs (+10 min reading); Section A = 20 MCQ (40 marks) + Section B = analytical/essay (60 marks); covers ALL material with more focus on Weeks 8-13 |
What ECON1002 covers
The whole subject → one exam-ready map. Each topic links to its free chapter guide.
Measuring Output: GDP
Week 1 · BOF Ch 1-2. The three approaches to GDP (expenditure C+I+G+X−M, value-added, income), nominal vs real GDP and the GDP deflator, chain-volume, GDP vs GNI, and the limits of GDP as a welfare measure.GDP is the market value of all final goods and services produced within a country in a given period, and Week 1 builds it three equivalent ways — by expenditure (C + I + G + X − M), by value-added, and by income.
- What GDP is: market value of FINAL goods & services, within a territory, over a period (avoid double counting)
- Expenditure approach: GDP = C + I + G + X − M
- Value-added approach: Σ(firm revenue − cost of intermediate inputs)
- Income approach: GDP = Compensation of employees + Gross operating surplus + Net indirect taxes
- GDP vs GNI: GNI = GDP + net factor income from non-residents
- Nominal vs real GDP: Nominal = Σ(P×Q) at current prices; Real holds prices at a base year
Prices, Inflation & Interest Rates
Week 2 (part) · BOF Ch 3. The CPI as a Laspeyres index, calculating inflation, substitution & quality bias, the costs of inflation and bracket creep, deflating vs indexing, and the Fisher equation i = r + π.This chapter measures the price level with the CPI — a fixed-basket, Laspeyres index — and turns it into inflation, then audits the CPI's biases (substitution, quality) and the real costs of inflation, including bracket creep in a non-indexed progressive tax.
- The CPI: cost of a FIXED basket; a Laspeyres (base-year-weight) index
- Inflation: (CPIₜ − CPIₜ₋₁)/CPIₜ₋₁ × 100; quarterly vs year-ended
- One item's contribution to inflation = expenditure share × its % price change
- CPI biases: substitution bias, quality bias, heterogeneous preferences (CPI overstates true cost of living)
- Costs of inflation: eroded purchasing power, menu & shoe-leather costs, redistribution, bracket creep
- Deflating vs indexing: real value = nominal / (CPI/100); indexing keeps real values constant
Saving, Wealth & Investment
Week 2 (part) · BOF Ch 4. Saving vs wealth (flow vs stock), national saving S = Y−C−G split into private + public, the closed-economy S = I, the firm investment decision (MB ≥ MC), and crowding out in the saving-investment market.This chapter separates a flow (saving = current income − current spending) from a stock (wealth = assets − liabilities), then defines national saving S = Y − C − G and splits it into private and public saving.
- Saving = income − spending (a FLOW); wealth = assets − liabilities (a STOCK)
- Classifying flows vs stocks (investment, income, deficit, hires = flows; capital, wealth, debt = stocks)
- Why people save: life-cycle, precautionary, bequest motives
- National saving S = Y − C − G; split S = (Y − T − C) + (T − G) = private + public saving
- Government budget: T > G surplus (public saving > 0); T < G deficit (public saving < 0)
- Closed-economy identity S = I
The Labour Market & Unemployment
Week 3 (part) · BOF Ch 2.5, 5. The neoclassical labour market (W = VMP = MPL × price), the unemployment and participation rates, discouraged & underemployed workers, frictional/structural/cyclical unemployment, the natural rate, and minimum-wage effects.The neoclassical labour market has firms hiring up to W = VMP(L) (where VMP = MPL × output price), giving a downward-sloping labour demand against an upward-sloping supply.
- Neoclassical labour market: firm hires to W = VMP(L), VMP = MPL × output price
- Diminishing MPL ⇒ downward-sloping labour demand; real wage w = W/P
- Stocks: Working-age pop = Labour force (employed + unemployed) + Not-in-LF
- Unemployment rate u = (U/LF) × 100; participation rate = LF/WPOP
- Discouraged & underemployed workers ⇒ measures understate true under-utilisation
- Types of unemployment: frictional (search), structural (mismatch), cyclical (the business cycle)
The Business Cycle & Output Gaps
Week 3 (part) · BOF Ch 6. Short-run fluctuations (peaks, troughs, expansions, contractions), technical vs growth recession, potential output y*, the output gap = 100×(Y−Y*)/Y*, recessionary vs expansionary gaps, and Okun's Law.The business cycle is the irregular fluctuation of real GDP around its trend — expansions and contractions punctuated by peaks and troughs — and a technical recession is two consecutive quarters of falling real GDP.
- Short-run fluctuations around trend: expansions & contractions, peaks & troughs (not periodic)
- Technical recession = 2 consecutive quarters of negative real-GDP growth; growth recession = growth below trend
- Logs & growth rates: growth ≈ log(yₜ₊₁) − log(yₜ); slope of a log-GDP plot = the growth rate
- Potential output y* = output at normal resource use
- Output gap = 100 × (Y − Y*)/Y*
- Recessionary gap (Y < Y*): under-use, rising unemployment, falling inflation
The Keynesian Short-Run Model
Week 4 · BOF Ch 7. Planned aggregate expenditure PAE = C+IP+G+NX, the consumption function C = C̄ + c(Y−T), short-run equilibrium Y = PAE on the 45° cross, inventory adjustment, the 2-sector and 4-sector models, and the income-expenditure multiplier.The Keynesian short-run model explains output when prices are sticky: firms produce to meet planned aggregate expenditure PAE = C + IP + G + NX, with consumption following C = C̄ + c(Y − T).
- Planned aggregate expenditure PAE = C + IP + G + NX (planned vs realised investment)
- Inventory adjustment drives Y to equilibrium: Y > PAE ⇒ inventories rise ⇒ Y falls (and vice versa)
- Keynesian consumption function C = C̄ + c(Y − T); c = MPC (0 < c < 1)
- Short-run equilibrium Y = PAE on the 45° diagram
- 2-sector model: withdrawals S = injections IP; multiplier = 1/(1 − c)
- 4-sector model: tax T = T̄ + tY, imports M = mY; PAE slope = c(1−t) − m
Fiscal Policy & Government Debt
Week 5 · BOF Ch 8. Using spending and tax changes to close output gaps, spending vs tax multipliers, the balanced-budget multiplier, the Gini coefficient, automatic stabilisers, crowding out, and debt sustainability (real interest rate vs growth rate).Fiscal policy uses spending and tax changes to shift planned expenditure and close output gaps.
- Spending vs tax changes to close output gaps (a tax cut raises the PAE slope)
- Spending multiplier K_G = 1/(1 − c(1−t)); tax multiplier K_T = −c/(1 − c(1−t))
- Spending > tax in absolute effect (part of a tax cut is saved)
- Balanced-budget multiplier: ΔG = ΔT still raises Y; K_BB = K_G + K_T
- Gini coefficient (0-1) = A/(A+B) under the Lorenz curve; higher = more unequal
- Automatic stabilisers: taxes fall and transfers rise in a recession (and vice versa)
Money, Banking & the Reserve Bank
Week 6 · BOF Ch 9-10. The functions of money and monetary aggregates (M1, M3), the quantity equation MV = PY and long-run neutrality, the money multiplier 1/rr, the RBA cash rate, open-market operations, the interest-rate corridor, bond prices vs yields, and the policy reaction function.Money is the medium of exchange, unit of account and store of value, measured by aggregates M1 and M3.
- Functions of money (medium of exchange, unit of account, store of value); aggregates M1, M3
- Quantity equation MV = PY; long-run money neutrality (%ΔM = %ΔP with V, Y fixed)
- Fractional-reserve banking; money multiplier mm = 1/rr; ΔM = mm × ΔR
- The RBA cash rate set via open-market operations (buy assets ⇒ rate falls)
- The interest-rate corridor (target ± band); inflation target 2-3%
- Bond price vs yield: P = Payoff/(1 + i); price falls when the interest rate rises
AD-AS Model & Inflation
Week 8 · BOF Ch 10.6, 11-12. Deriving aggregate demand from the policy reaction function, what shifts AD, aggregate supply and inflation inertia, SRAS vs LRAS, the output-gap-to-inflation link, the sources of inflation, and disinflation under inflation targeting.The AD-AS model ties the short-run model to inflation. Aggregate demand slopes down in (π, Y) space because, through the policy reaction function, higher inflation prompts a higher real rate, lower spending and lower output.
- Deriving AD: higher π ⇒ (via the policy reaction function) higher r ⇒ lower PAE ⇒ lower Y (AD slopes down)
- What shifts AD: higher exogenous spending (G) right; a higher inflation target (dove) right, lower (hawk) left
- Aggregate supply & inflation inertia: πₜ = πₜ₋₁ + (output-gap effect) + shock
- SRAS vs LRAS (vertical at potential output Y*)
- Output gap drives Δπ: expansionary gap ⇒ inflation rises; contractionary ⇒ falls; no gap ⇒ unchanged
- Source 1 of inflation: excessive spending (AD right, Y > Y*, SRAS drifts up until Y = Y* at higher π)
Long-Run Growth & Growth Accounting
Week 9 · BOF Ch 13-14. The stylised facts of growth and the role of institutions, the rule of 70, the Cobb-Douglas function Y = AKᵃL¹⁻ᵃ with CRS and diminishing returns, the per-capita function y = Akᵃ, and growth accounting (the Solow residual, TFP).Long-run growth shifts the focus from fluctuations to the level and trend of output per person. Small differences in growth compound hugely (the rule of 70), and institutions matter (the two Koreas).
- Stylised facts of growth; institutions matter (North vs South Korea); the rule of 70 (doubling time ≈ 70/growth%)
- Cobb-Douglas production Y = AKᵃL¹⁻ᵃ; A = total factor productivity
- Constant returns to scale (in K, L together) AND diminishing marginal product (one input fixed)
- Per-capita production y = Akᵃ (k = K/L), 0 < a < 1, diminishing in k
- Growth-accounting equation: ΔY/Y = ΔA/A + a·(ΔK/K) + (1−a)·(ΔL/L)
- The Solow residual ΔA/A = TFP growth = the rate of technical progress
The Solow-Swan Growth Model
Week 10 · BOF Ch 15. The behavioural saving rule s = θy, break-even investment (d+n)k, capital accumulation Δk = θy − (d+n)k, the steady state k* and y*, the role of the saving rate and population growth, conditional convergence, and endogenous growth.The Solow-Swan model turns the per-capita production function into a dynamic story.
- Behavioural saving: s = θy (θ = saving rate, 0 < θ < 1)
- Break-even / replacement investment (d + n)k (d = depreciation, n = population growth)
- Capital accumulation Δk = θy − (d + n)k = θ·Akᵃ − (d+n)k
- Steady state: Δk = 0 ⇒ θAkᵃ = (d+n)k; solve for k* then y* = A(k*)ᵃ
- Long-run steady-state growth of output per worker = 0 without TFP growth
- Higher θ ⇒ higher k*, y* (level, not long-run growth); higher n ⇒ lower k*, y*
Exchange Rates, the Balance of Payments & Open-Economy Macro
Weeks 11-12 · BOF Ch 17-18. Nominal & real exchange rates (rer = eP/Pᶠ) and competitiveness, PPP, the FX market and how monetary policy moves the dollar, fixed vs floating and speculative attacks, the policy trilemma, the balance of payments (CAB + KAB = 0), and the twin deficits.The open-economy chapter links the dollar, prices and the external accounts.
- Nominal exchange rate e (foreign per domestic); appreciation (e↑) vs depreciation (e↓)
- Real exchange rate rer = eP/Pᶠ and competitiveness (real depreciation ⇒ X↑, M↓)
- PPP & the Law of One Price: %Δe = %ΔPᶠ − %ΔP (higher domestic inflation ⇒ depreciation)
- The FX market: supply of A$ up-sloping, demand down-sloping; tightening MP ⇒ appreciation
- Fixed vs floating; overvalued fixed ER drains reserves; speculative attack; defend by tightening MP
- The policy trilemma: at most 2 of {fixed ER, free capital flows, independent MP}
You build a single analytical toolkit (the Keynesian cross, the AD-AS model with a policy reaction function, the Solow-Swan growth model and the foreign-exchange market) and run it across fiscal policy, the Reserve Bank, and the open economy.
It is taught from Bernanke, Olekalns & Frank's Principles of Macroeconomics (5th Australian edition).
The stakes are closed-book and computational: a 25% in-person In-Semester Test on Weeks 1-6 and an in-person, pen-and-paper final exam worth 50% (2 hours; Section A = 20 MCQ for 40 marks, Section B = analytical/essay for 60 marks, with more focus on Weeks 8-13), backed by tutorials (15%), four open-book online quizzes (8%) and an Early Feedback Task (2%).
There is no single-component hurdle — you pass on a weighted average of at least 50% — but a non-programmable calculator and a printed bilingual dictionary are the only aids, so marks come from fast, correct number-work and four well-drilled exam diagrams, not from memorised formulas.
This free layer maps every examinable topic; the full Exam Bible unlocks the worked drills, labelled diagrams and mark-by-mark model answers.
Worked example · free
Solow-Swan steady state: capital and income per worker
- 2 marksState the steady-state condition. In Solow-Swan, capital per worker is constant when saving per worker exactly funds break-even investment: Δk = 0 ⇒ θ·A·k^0.5 = (d + n)·k.
- 1 markSubstitute the numbers: 0.3 × 1 × k^0.5 = (0.05 + 0.05) × k, i.e. 0.3·k^0.5 = 0.10·k.
- 1 markDivide both sides by k^0.5 to isolate k: 0.3 = 0.10·k^0.5 ⇒ k^0.5 = 3 ⇒ k* = 9.
- 1 markFind income per worker from the production function: y* = A·(k*)^0.5 = 1 × 9^0.5 = 3.
- 1 markInterpret: at the steady state the economy stops accumulating capital per worker, so without TFP growth (A constant) the long-run growth of income per worker is 0 — growth happens only while k is still below k*.
Key terms
- Gross Domestic Product (GDP)
- The market value of all final goods and services produced within a country in a given period. It can be measured three equivalent ways — expenditure (C + I + G + X − M), value-added, and income — and 'final' means intermediate goods are excluded to avoid double counting.
- Real vs nominal GDP / GDP deflator
- Nominal GDP values output at current prices; real GDP holds prices at a base year so only quantities move. Their ratio is the GDP deflator = (Nominal GDP / Real GDP) × 100, a broad measure of the price level.
- Fisher equation
- The link between nominal and real interest rates: i = r + π (so r = i − π). The nominal rate i is set in the contract; the real rate r is the inflation-adjusted reward to lenders, and unanticipated inflation transfers wealth from creditors to debtors.
- Income-expenditure multiplier
- The factor by which equilibrium output changes for a one-dollar change in autonomous spending. In the simple model it is 1/(1−c); with a proportional tax t and import rate m it is 1/(1−[c(1−t)−m]), and it is always larger than one.
- Output gap & potential output
- Potential output y* is what the economy produces at normal resource use; the output gap = 100 × (Y − Y*)/Y*. A negative (recessionary) gap means under-use and rising unemployment; a positive (expansionary) gap means over-use and rising inflation.
- Real exchange rate
- rer = eP/Pᶠ, where e is the nominal exchange rate (foreign currency per domestic), P the domestic price level and Pᶠ the foreign price level. A real depreciation (rer falls) makes a country more competitive — exports up, imports down.
ECON1002 FAQ
Is ECON1002 hard?
ECON1002 is challenging mainly because it is closed-book and computational under time pressure, not because the maths is advanced. The algebra is light — multiplier fractions, the Fisher equation, the real exchange rate, the Solow-Swan steady state — but you must apply it fast and correctly without notes.
Students who keep up weekly, drill the MCQ number-types, and rehearse the four exam diagrams (Keynesian cross, AD-AS, Solow-Swan, FX market) find it very manageable; leaving it to the end is what makes it feel hard.
Is the final exam a hurdle in ECON1002?
No single-component hurdle is stated in the unit materials; you pass on a weighted average of at least 50% across the EFT (2%), online quizzes (8%), tutorials (15%), the In-Semester Test (25%) and the final (50%). That said, the final is worth 50% and the IST 25%, so the two closed-book exams together decide three-quarters of your mark. Always confirm the current rules in your unit outline.
What does the In-Semester Test cover versus the final?
The In-Semester Test (25%, closed-book, ~25 MCQ, 60 minutes) covers Weeks 1-6 only — GDP, inflation and interest, saving and investment, the labour market, the business cycle and the Keynesian model.
The final covers ALL material but with more focus on Weeks 8-13 (AD-AS, long-run growth, Solow-Swan, exchange rates and the balance of payments), so weight your revision toward the back half of the unit for the final while not neglecting the foundations.
Can I use a calculator or notes in the exams?
The IST and the final are both in-person and closed-book. You may bring a non-programmable (non-graphing) calculator and a printed bilingual dictionary, but no notes, formula sheet or programmable device. Because no formula sheet is provided, you must memorise the key relationships (the multiplier, Fisher, Okun's Law, the steady-state condition, rer and PPP) and be able to set them up by hand.
How computational is ECON1002, and what should I practise?
Most marks are computational. The IST and the final's Section A (40 of 100 marks) are MCQ that reward fast, correct number-work: GDP three ways, CPI inflation, the Fisher real rate, the Keynesian multiplier and equilibrium Y, the balanced-budget multiplier, Okun's Law, the Solow-Swan steady state, the real exchange rate, PPP depreciation and NS − I = NX.
Section B then rotates through four labelled diagrams — the Keynesian cross, AD-AS with the policy reaction function, Solow-Swan, and the FX market. Drill the number-types and the four diagrams and you cover the paper.
Questions students ask in each ECON1002 chapter
- How is GDP examined in ECON1002?
- As MCQ calculation. The classic versions give you several expenditure or income components and ask you to recover a missing one (very often investment), or hand you a price-quantity table and ask for nominal-GDP growth, real-GDP growth and the GDP deflator. Showing you can move between the expenditure and income approaches, and between nominal and real, is the whole skill. Chapter 01 · Measuring Output: GDP
- How is inflation examined in ECON1002?
- As short MCQ calculation: compute an inflation rate from two CPI values, find a single item's contribution to inflation (share × % price change), deflate a nominal income to real terms, or apply the Fisher equation to find a real return or an inflation-indexed repayment. The arithmetic is light but sign- and decimal-sensitive, so practise the setups. Chapter 02 · Prices, Inflation & Interest Rates
- How is this material examined in ECON1002?
- Two ways: a conceptual MCQ that asks you to classify items as flows or stocks (saving, deficit and income are flows; wealth, capital and debt are stocks), and a saving-investment diagram or calculation showing how a budget deficit raises the real interest rate and crowds out private investment. Computing national saving and its private/public split from Y, C, G and T is the core arithmetic. Chapter 03 · Saving, Wealth & Investment
- How is the labour market examined in ECON1002?
- As a hiring calculation (compute MPL, multiply by price to get VMP, and hire while VMP ≥ the wage), a binding minimum-wage problem (solve for the free-market wage, then read employment off demand and unemployment as supply − demand at the floor), and definitional MCQ on the unemployment and participation rates and the types of unemployment. The minimum-wage version recurs on sample and past finals. Chapter 04 · The Labour Market & Unemployment
- How is the business cycle examined in ECON1002?
- Mostly as an Okun's-Law calculation — given the output gap and β, find how far unemployment is from its natural rate (or vice versa) — plus concept MCQ on the definitions: technical vs growth recession, peaks and troughs, and reading a growth rate as the slope of a log-GDP plot. Knowing the sign convention on the output gap is what wins the marks. Chapter 05 · The Business Cycle & Output Gaps
- How is the Keynesian model examined in ECON1002?
- It is a flagship. In MCQ you build PAE, find the slope and multiplier, and solve for equilibrium Y; in Section B you draw the 45° Keynesian cross, show a shift (e.g. G↑ or a negative shock), and explain how the multiplier magnifies it. Expect at least one full 'find the multiplier, find Y, close the gap' calculation in the IST or final. Chapter 06 · The Keynesian Short-Run Model
- How is fiscal policy examined in ECON1002?
- Mainly as multiplier calculations: compute the spending multiplier and the tax multiplier, compare their magnitudes, and work out a balanced-budget change in output (the recurring IST/sample-final type). It is rounded out with concept MCQ on automatic stabilisers, crowding out, the Gini coefficient, and when public debt becomes unsustainable. Chapter 07 · Fiscal Policy & Government Debt
- How is the money and RBA material examined in ECON1002?
- Three recurring calculation types: a money-multiplier question (total deposits = (1/rr) × reserves), a bond-price/yield direction question (a higher cash rate means lower bill prices and higher yields), and a policy-reaction-function computation of the real then nominal cash rate. These appear on both the sample and past finals, plus concept MCQ on the functions of money and money neutrality. Chapter 08 · Money, Banking & the Reserve Bank
- How is the AD-AS model examined in ECON1002?
- It is the heart of Section B and of the Weeks 8-13 focus. Expect a labelled-diagram question: shift AD (e.g. higher G or a changed inflation target) or AS (a supply shock), show the short-run point and the self-correction back to potential, and explain the inflation outcome. The 2025 final used exactly this with a COVID-era shock and a disinflation scenario. Chapter 09 · AD-AS Model & Inflation
- How is long-run growth examined in ECON1002?
- Mainly as a growth-accounting calculation — given factor shares and input growth rates, find output growth, or given output and input growth, back out the Solow residual (TFP growth). The recurring MCQ version is per-capita output growth = a × growth of k when A is constant. It is supported by concept questions on constant returns vs diminishing marginal product and on why institutions drive cross-country differences. Chapter 10 · Long-Run Growth & Growth Accounting
- How is Solow-Swan examined in ECON1002?
- As a flagship: a Section-B diagram and a calculation. You solve for the steady-state k* and y* by setting saving equal to break-even investment, show how a higher saving rate raises the saving curve (higher k*) or higher population growth steepens break-even (lower k*) on the diagram, and explain conditional convergence. The sample and 2025 finals both featured a steady-state computation. Chapter 11 · The Solow-Swan Growth Model
- How is the open-economy material examined in ECON1002?
- Three calculation types plus a diagram. You compute the real exchange rate from rer = eP/Pᶠ, apply PPP to find the predicted nominal-exchange-rate change, and solve an open-economy identity (NS − I = NX, or the twin-deficits relation) for a missing change. The diagram question uses the FX market to show how an interest-rate change moves the dollar, or how a fixed regime is defended. Chapter 12 · Exchange Rates, the Balance of Payments & Open-Economy Macro
How to study for the exam
Treat ECON1002 as a skills subject won under closed-book conditions, and build two muscle groups in parallel.
(1) Number-work: keep a running drill of every MCQ type — GDP three approaches, CPI inflation and the deflator, the Fisher real rate, VMP labour hiring, Okun's Law, the Keynesian and balanced-budget multipliers, the money multiplier, the policy reaction function, the Solow-Swan steady state, the real exchange rate, PPP, and NS − I = NX — and practise them by hand on a non-programmable calculator until setup is automatic, because there is no formula sheet.
(2) Diagrams: master the four Section-B exam diagrams — the Keynesian cross, AD-AS with the policy reaction function, Solow-Swan steady state, and the FX market — and for each learn the shift it shows and the one-line decision rule it encodes ('G↑ shifts PAE up, ΔY = multiplier × ΔG'; 'θ↑ raises the saving curve, higher k* and y*').
(3) Use the open-book online quizzes and tutorials as a weekly diagnostic, then re-drill weak topics under timed conditions. (4) Weight revision toward Weeks 8-13 for the final and Weeks 1-6 for the IST, and always finish a calculation with the one-sentence economic interpretation — examiners reward the reasoning, not just the number.
Your AI Economics tutor for ECON1002
Stuck on a hard ECON1002 question? Sia is AskSia’s AI Economics tutor — ask any ECON1002 Introductory Macroeconomics question and get a clear, step-by-step explanation grounded in how the course is actually taught and assessed. Read this whole study guide free, then take your hardest questions to Sia.
