EC9A2: Advanced Macroeconomic Analysis
Marija Vukotic
Module Leader
Introduction
EC9A2-35 Advanced Macroeconomic Analysis
Principal Aims
The module aims to develop the skills and knowledge of macroeconomics necessary for a career as an academic economist and in all areas where advanced research skills in economics are required. Specifically, it aims to teach the students to understand, appreciate, and ultimately contribute to, frontier research. It is intended to be comparable to modules taught in the best research universities in the USA and elsewhere in Europe.
Principal Learning Outcomes
Subject Knowledge and Understanding:...have a comprehensive overview and a sound understanding of Macroeconomic Theory.
Subject Knowledge and Understanding:...develop a critical knowledge of recent research in some key areas of macroeconomics.
Key Skills:...to pursue their own research agenda in the field.
Syllabus
The module will typically cover the following topics:
鈥� Consumption and Investment. Topics: Intertemporal decisions, PIH, LCH, consumption under uncertainty, CEQ, CCAPM, equity premium puzzle, precautionary savings, liquidity constraints, Tobin鈥檚 q-theory, irreversible investment. Methods: Dynamic optimization under uncertainty (optimal control, dynamic programming, stochastic dynamic programming) in discrete time.
鈥� Economic Growth. Topics: Growth accounting, neoclassical growth model, endogenous growth, poverty traps. Methods: Dynamic optimization in discrete or in continuous time, phase diagrams, OLG models.
鈥� Business Cycles. Topics: RBC models, determination of employment and real wages, welfare costs of fluctuations, taxation and efficiency, new Keynesian models, monetary policy. Methods: Calibration and simulation, solving rational expectations models, Blanchard-Kahn conditions, Dynare, structural VARs.
鈥� Markets with Frictions. Topics: Labour market frictions and unemployment, financial frictions.
Context
- Optional Module
- L1PL - Year 1
Assessment
- Assessment Method
- Coursework (100%)
- Coursework Details
- In class test 1 (20%) , In class test 2 (20%) , In department exam (60%)
- Exam Timing
- N/A