Macroeconomics Simulation

• Interpret macroeconomic indicators and forecasts (e.g., GDP, inflation, unemployment)

• Adjust interest rates or government spending to meet macro targets

• Simulate real-time policy announcements and observe public and market reactions

• Debate economic priorities in light of political or global constraints

• Manage economic outcomes over multiple quarters or years

• Justify their choices to peers, instructors, or simulated stakeholder panels

This simulation helps students move from passive theory to active decision-making in macroeconomics. They will learn to:

• Apply macroeconomic models to real-world policy dilemmas

• Analyze and synthesize large sets of economic data

• Understand the trade-offs and unintended consequences of policy tools

• Communicate complex economic decisions clearly and persuasively

• Navigate the uncertainty, lags, and pressure that define public economic leadership

• Reflect on the ethical and social impact of macroeconomic choices

• Do students need prior macroeconomics knowledge? A basic foundation is helpful, but the simulation can be adapted to both introductory and advanced levels with guided briefings.

• Can the simulation focus on specific themes (e.g., monetary vs fiscal policy)? Yes. Instructors can tailor the focus to fit learning goals - ranging from central bank independence to global trade dynamics.

• How long does the simulation take? Typically 2–3 hours for a full macroeconomic cycle, though it can be shortened or extended across multiple class periods.

• Is it more suited to individuals or teams? Both formats are effective. Team play adds collaborative complexity and mimics real-world policy committees.

• How is student performance assessed? Through simulation scoring (based on inflation, unemployment, and growth), decision logs, economic rationales, and team presentations.