Understanding the Australian economy: An introduction to macroeconomic and financial policies

Go to Course: https://www.coursera.org/learn/australian-economy

Introduction

**Course Review: Understanding the Australian Economy: An Introduction to Macroeconomic and Financial Policies** If you're looking to delve into the complexities of the Australian economy—its structure, challenges, and the policies that shape it—then the Coursera course “Understanding the Australian Economy: An Introduction to Macroeconomic and Financial Policies” is an excellent educational opportunity. Spanning four weeks and organized into four comprehensive modules, this course offers a profound insight into Australia's economic landscape, backed by real-world applications and historical context. ### Course Overview This course is designed for participants of all backgrounds, from students to professionals in the field of economics. It provides a clear pathway to understanding the macroeconomic essentials that drive the Australian economy, blending theoretical knowledge with pragmatic analysis. The course places a strong emphasis on the interplay of domestic and international forces that influence the economy and equips participants with the skills to evaluate current economic issues. ### Syllabus Breakdown 1. **The Australian Economy in a Nutshell** In the first module, you will embark on a thorough exploration of Australia's economy through the lens of four fundamental macroeconomic indicators: gross domestic product (GDP), unemployment rate, inflation rate, and exchange rate. Delving into a brief history of Australia’s exchange rate systems, this module elucidates why the country adopted a floating exchange rate, setting the stage for a deeper understanding of subsequent topics. 2. **Monetary Policy and the RBA** The second week shifts focus to the Reserve Bank of Australia (RBA) and its crucial role in shaping economic stability through monetary policy. You'll discover how the RBA impacts inflation and economic activity via various transmission channels and will analyze its stabilization frameworks. This module is particularly valuable for grasping the dynamics of central banking in Australia. 3. **Fiscal Policy in Australia** In the third module, the spotlight turns to fiscal policy. You'll gain insights into how policymakers use fiscal tools to manage economic fluctuations, exploring its fundamental objectives and functions. By applying established economic frameworks, this module allows for an analytical examination of past fiscal policy episodes, providing context and relevance to current practices. 4. **The 2007 - 2010s Global Financial Crisis** The final week confronts one of the most significant financial events in modern history: the Global Financial Crisis (GFC). This module provides an in-depth overview of the GFC's causes and its implications for the Australian economy, as well as the responses from policymakers. Understanding this crisis is essential for anyone interested in economic resilience and policy development in times of turbulence. ### What You’ll Gain Participants can expect to: - Develop a robust understanding of the key macroeconomic indicators in the context of Australia. - Analyze the interaction between monetary and fiscal policies and their implications for economic growth. - Enhance your ability to critically evaluate past and current economic policies. ### Recommendation “Understanding the Australian Economy: An Introduction to Macroeconomic and Financial Policies” is highly recommended for those seeking foundational knowledge of Australia’s economic environment. Whether you’re a student, a business professional, or simply curious about economic policies, this course equips you with valuable insights and analytical skills that are applicable in various contexts. The structured approach, coupled with real-world examples, fosters a comprehensive understanding that prepares you to engage intelligently with economic discussions. ### Conclusion In a globalized world where understanding economic dynamics is paramount, this Coursera course promises to be an enlightening journey. Its focus on both theoretical underpinnings and practical applications makes it a not-to-miss opportunity for anyone keen on grasping the complexities of the Australian economy.

Syllabus

The Australian economy in a nutshell

Welcome to the MOOC! This week we will take a whirlwind tour of the Australian economy. More specifically, we will examine Australia's economy according to four key macroeconomic variables: gross domestic product, unemployment rate, inflation rate and exchange rate. Also, this week we will step back in time for a short history of the exchange rate regimes in Australia. Through this journey, we will explore why our nation is currently in the era of floating exchange rates.

This week, we will drill down deeper into the heart of the Australian economy to explore monetary policy and the role of the central bank (the Reserve Bank of Australia, RBA) in stabilising and influencing the economy. First, we'll look at the transmission channels of monetary policy to see how the RBA can influence inflation and the level of activity in the economy. Next, we'll examine a simple but powerful framework to explain the RBA's stabilisation policies.

This week we will have a brief overview of fiscal policy in Australia. Fiscal policy is an important topic and is widely used by policymakers to influence economic fluctuations, both in the short and medium run. In this module we will discuss the primary objectives and functions of fiscal policy in our nation. We will then apply a (familiar) economic framework in order to analyse fiscal policy and its impact on the economy. Using this framework, we’ll analyse several actual past, past policy episodes in the Australian economy.

This week, we will investigate a momentous economic event: the 2007 Global Financial Crisis, or GFC. Here we’ll have a crash course on the crisis – its main causes and consequences, the subsequent policy responses by policymakers and regulators, as well as its particular impact on the Australian economy.