14.02  Principles of Macroeconomics

All psets are in box outside E52-201. Theresa Benevento, Prof. Giavazzi's assistant, will have the quizzes starting on Tuesday, May 29. Her office is E52-274, and she is there Mon-Fri from 7am-3pm.

Applying the rule for constructing the final score announced in the syllabus (.9*(avg of the three Quizzes) + .1*(sum of the Pset points)) and using the following cutoffs:

A:    80-100  (with A+  if >= 90)
B:    67-79    (with B+ if  >= 75)
C:    41-66    (with C-  if <= 55)

the outcome of the course is:

A:    35.2 %   (with 9.6% A+ )
B:    41.6%    (with 16.8% B+)
C:    19.6%

We rounded final scores up and down. We will submit the final grades to the registrar today, so you will be able to see them on WebSIS very soon. I will send out an announcement later today specifying where you can pick up uncollected psets and quizzes. If you have all of these you can calculate your final grade yourself using the rule and cutoffs above.

You can pick up Quiz 3 from Miriam in E53-415 today (Thursday, May 24) between 11am-noon and 3pm-6pm. We will submit the final grades to the registrar tomorrow, so they should be on WebSIS soon. I will send out instructions tomorrow for where to pick up quizzes if you can't make it today. We are NOT giving out grades over email. The summary stats are as follows

Average -- 69.61
Median -- 72
Std. Dev. -- 13.96
Min -- 29
Max -- 95

125 students took Quiz 3
5 students had scores above 90
29 students had scores between 80 and 90
32 students had scores between 70 and 80
30 students had scores between 60 and 70
18 students had scores between 50 and 60
6 students had scores between 40 and 50
5 students had scores below 40

Have a great summer!!

The graded pset 5 is in a box outside E52-201. We ended up not counting part 6 of short question 1 toward the grade for this pset. This was the part that had wrong solutions initially. Some graders may have marked your correct answers wrong, so please ignore these corrections. In any case, this part does not count and the pset has a total of 20 points now like all the previous psets. Sorry for the confusion.

There was a mistake in the solutions to pset 5, but the correct version is now posted. The answer to part (6) of the first long question has been corrected.  In response to a monetary expansion, the IS curve should not shift nor rotate. The exchange rate changes in response to the change in the domestic interest rate, and therefore the change is endogenous and should not shift nor rotate the IS curve. In terms of the math, you need to plug the UIP condition into the IS curve when solving for the IS curve, implying that e does not enter the slope nor the intercept of the IS curve in this problem (in the first parts of the problem this is different since e is assumed to be fixed).