PrEMAS 6 - Macro- and Micro-Economics

The aim is of this module to introduce students to the core principles of MicroEconomics, MacroEconomics and the basics of Financial Systems, as outlined below.

PrEMAS 6 - Macro- and Micro-Economics

Entry requirements

General entry requirements for the PrEMAS and understanding of mathematics (esp. algebra and calculus) at least at university entry level.

Learning objectives

  • Explain the concept of utility and how rational utility maximizing agencies make consumption choices.
  • Explain the elasticity of supply and demand and the effects on a market of the different levels of elasticity.
  • Explain the interaction between supply and demand and the way in which equilibrium market prices are achieved.
  • Explain various pricing strategies that can be used by firms.
  • Explain the core economic concepts involved in choices made by businesses with respect to short-run and long-run investment and production choices.
  • Explain competitive markets and how they operate.
  • Explain profitability in markets with imperfect competition.

  • Explain basic macroeconomic measures (e.g. GDP) used to compare the economies of countries.
  • Describe the structure of public finances for an industrialized country.
  • Explain the effect of fiscal and monetary policy on the economy, including the effect on financial markets.
  • Explain the role of international trade, exchange rates and the balance of payments in the economy.
  • Explain the effect of savings and consumption rates on the economy.
  • Explain the major factors affecting the level of interest rates, the rate of inflation, the exchange rate, the level of employment, and the rate of growth for an industrialized country.
  • Describe the function of money in the economy.
  • Explain how interest rates are determined.
  • Explain the relationship between money and interest rates.
  • Explain how macroeconomic policies affect businesses.

Financial systems
  • Describe the role and structure of (inter)national financial systems (markets, organizations and nations).
  • Describe the influence of institutions in financial systems (governments, central banks, investment exchanges, financial bodies, regulators).
  • Describe the roles of the participants in financial systems (investment banks, retail banks, investment management companies, pension funds, insurance and re-insurance companies, non-financial corporations, sovereign funds, micro-finance providers, unregulated organizations).
  • Explain factors affecting development and stability of financial systems (demographic changes, economic development, technological changes and climate change).


  • Economics - N. Gregory Mankiw, Mark P. Taylor. ISBN 9781473768543, 5th edition, January 2020
  • Hand-outs provided during the lectures


  • Drs. Sander Biesma AAG RC RBA
  • Drs. Léon Cornelissen CPE

Important to know

  • Lectures start on Monday 26 August 2024 from 18.00-21.00. The complete schedule will be published in the group page.
  • Exam dates: exam on 12 December 2024, resit on 7 April May 2025. These dates are preliminary.
  • The costs for this module are € 3.575.
  • The examination will involve written answers to open questions. The candidate completes the module with a minimal score of 5.5 out of 10.