 Teaching the multiplier: The value of a quantitative approachPaul Turner () and Justine Wood International Review of Economics Education, 2014, vol. 16, issue PB, 147-155 Abstract: To create an engaging and motivating learning environment, we have developed software which is based on estimated parameters for the UK economy. The program allows students to both simulate the effects of economic policy on national income and its components as well as the flexibility to vary key parameters of interest in order to assess the impact on economic performance. In this paper we present the main features of the software and the model on which it is based. We discuss the potential uses of the software within a class-room context and consider two simulations. The first of these is a fiscal expansion designed to bring down unemployment and the second is an exogenous shock to consumption affecting the parameters of the consumption–income relationship. This paper advocates that students’ understanding of theoretical models can be greatly enhanced by the addition of practical examples that can be used in lectures and tutorials as well as for independent study. Keywords: Macroeconomics; Multiplier; Simulation (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:ireced:v:16:y:2014:i:pb:p:147-155 DOI: 10.1016/j.iree.2014.03.001 Access Statistics for this article International Review of Economics Education is currently edited by Guest, Ross More articles in International Review of Economics Education from Elsevier |
Is your work missing from RePEc? Here is how to contribute.
Questions or problems? Check the EconPapers FAQ or send mail to .
EconPapers is hosted by the
School of Business at Örebro University.