MIT 14.02: Principles of Macroeconomics
14.02 is MIT's introductory macroeconomics course, covering national accounts, the goods and money markets, unemployment, inflation, expectations, and open-economy dynamics, built around working models rather than narratives. Its OCW materials serve a large global audience of students and self-learners.
Fennie is independent and not affiliated with MIT. This is an unofficial study guide.
What makes it hard
14.02 moves through a sequence of interlocking models, each extending the last, and the difficulty is keeping the chain intact: miss how the money market plugs into the goods market and everything downstream wobbles. Exams hand you shocks and demand the full propagation: direction, mechanism, and time horizon.
What you'll cover
- • GDP and national income accounting
- • The goods market and the money market
- • The IS-LM framework
- • Labor markets and unemployment
- • Inflation and expectations
- • Open-economy macroeconomics
The 14.02 study guide
How to study for MIT 14.02, step by step.
- 1
Rebuild each model from its predecessor
14.02's models extend one another deliberately. When a new framework arrives, write down exactly what assumption changed from the last one; that delta is what exams probe.
- 2
Practice shock propagation as the core drill
Take a fiscal expansion, a rate change, or an oil shock, and trace output, interest rates, and prices through the current model step by step. This is the exam task; rehearse it as such.
- 3
Keep the accounting identities automatic
GDP definitions, savings-investment identities, and the money relations are free points and load-bearing assumptions at once. A small recurring flashcard habit covers them permanently.
- 4
Benchmark with OCW exams after honest attempts
Past 14.02 exams with solutions are published. Take them timed, then audit your propagation logic against the official reasoning, not only the final answers.
Today
Today's 14.02 plan
What a Fennie Daily Plan looks like for 14.02. Yours is built from your own syllabus and adapts every day to your deadlines and progress.
First plan free, no card required. Fennie is independent and unaffiliated with your school.
FAQ
Is 14.02 harder than 14.01?
The math is lighter but the models interlock more; losing one link weakens everything downstream. Students who track what each model adds find it systematic.
Can I take 14.02 before 14.01?
MIT students commonly take them in either order, and the courses are designed to stand alone. The micro intuition from 14.01 helps but isn't assumed.
Is 14.02 on OCW good for self-study?
Yes. Lectures, notes, psets, and exams are available, and the model-based approach translates well to independent work. Drill shock propagation, not only the readings.