Contents. 1. Introduction and overview. PART I: THE CLOSED ECONOMY. 2. Review of basic macroeconomic model. 3. The formulation of a consistent model. 4. The dynamcis of the government budget constraint. 5. The wage-price sector. 6. A short-run integrated macroeconomic model. 7. An intermediate-run macroeconomic model. 8. A long-run model. PART II: THE OPEN ECONOMY. 9. Review of statistic macroeconomic models of a small open economy. 10. Imported inflation and government policies in a short-run open macroeconomic model. 11. The dynamics of an open economy with fixed exchange rate and fixed prices. 12. Imported inflation and government policies in a dynamic open macroeconomic model. PART III: STABILIZATION POLICIES. 13. An introduction to stabilization theory and policy. 14. Optimal stabilization theory.