This course provides the student with an advanced understanding of the hypothesis, methods and consequences associated with monetary and fiscal policies. After a brief review of the IS-LM macroeconomic model, the Mundell-Fleming model is introduced and the case of an open economy in studied. The survey analysis of how these policies have been introduced and performed in the past conclude the first part of the course. In the second part of the course a critical assessment of pros and cons of mainstream modeling is undertaken, and alternative approaches (i.e., agent-based computational economics and evolutionary modeling) is proposed and discussed.