1. Chapter 11. Income and Expenditure Link to syllabus Skip Income-Expenditure Equilibrium, pp. 326-331 (a.k.a. ‘The Keynesian Cross’). Also, skip the accelerator model of investment p. 323, and changes in inventories.

2. The AD-AS Model. Fig. 12-11, p. 361 Previews of (Still) Coming Attractions!

3. Further Previews of Coming Attractions ! Shifts of Aggregate Demand Fig. 12-4, p. 346 Caused by changes in Business Investment or Government Expend.

4. Consumption Function, Figures 11-1 and 11-2, pp. 316-317 Actual data for 2009, by deciles

5. Link to ISR http://www.isr.umich.edu/ Latest news release Link to RSQE forecastforecast

6. Example of U-M’s Consumer Survey, 2002

7. Formulas and Definitions for The Multiplier. p. 314

8. Rounds of Increases of Real GDP. ΔAAS=100, MPC=0.6 p. 313 Thus the multiplier is 250/100 = 2.5 which is 1/(1 – 0.6)

9. Table 11-2 p. 314. Investment, Consumption, and Real GDP in the Great Depression.

10. Fluctuations in Consumption and Investment Spending During Recessions. Fig 11-6, p. 322 Spending on business investment is much more unstable than consumption

11. Links to RSQE http://rsqe.econ.lsa.umich.edu/Docs/summary.pdf http://rsqe.econ.lsa.umich.edu/index.php?page=forecasts&name=US