The course examines macroeconometric models and their applications in impact and policy analysis and in longer-term forecasting. Detailed examination is made of the macroeconometric model maintained at the University of Toronto and students gain 'hands-on' experience in its construction and use through two major required assignments (there is no exam). A recent long-term forecast developed with the model at the University will also be examined. The course also studies the various important criticisms of macroeconometric models and briefly surveys alternative macroeconomic forecasting methods.