EC417     
Advanced Macroeconomics

This information is for the 2016/17 session.

Teacher responsible

Dr David Baqaee 32L.1.10 and Prof Wouter Den Haan 32L.1.08A

Availability

This course is compulsory on the MSc in Econometrics and Mathematical Economics. This course is available with permission as an outside option to students on other programmes where regulations permit.

Pre-requisites

Students must have completed Pre-sessional Course for MSc EME (EC451).

Course content

Course objectives and main course elements:

1. The course will teach you the terminology used in empirical and theoretical macroeconomics.

2. The course will teach you the main empirical business cycle characteristics of developed economies and the main empirical findings regarding the growth of developed and less developed nations.

3. This course teaches you the main techniques used to analyse modern macroeconomics models. In particular, the course will focus on techniques such as dynamic programming, value function iteration, and the linearization of first-order conditions.

4. This course teaches you (prototype versions of) macroeconomic models used to analyse key questions related to business cycles and economic growth. Examples are New Keynesian models, Real Business Cycle models, Overlapping Generations models, the Solow growth model, and first-generation endogenous growth models.

5. The course will also discuss some more advanced models that have recently been developed to explain recent economic events.

Teaching

20 hours of lectures and 10 hours of seminars in the MT. 20 hours of lectures and 10 hours of seminars in the LT.

Some of the problem will sets will consist of computer assignments and students will be taught some basic programming skills.

Formative coursework

Each week, students are assigned problem sets. These problem sets focus on key elements of the lectures, but they will also promote creativity and critical thinking by going beyond the material explicitly discussed in the lectures. There will also be computer assignments. The problem sets will be discussed by the class teachers.

Indicative reading

  • Acemoglu, Daron, 2009, Introduction to Modern Economic Growth.
  • Ljungqvist, Lars and Thomas J. Sargent, 2012, Recursive Macroeconomic Theory.
  • Romer, David, 2011, Advanced Macroeconomics.
  • Stokey, Nancy L. and Robert E. Lucas Jr., 1989, Recursive Methods in Economic Dynamics.

Assessment

Exam (50%, duration: 2 hours) in the main exam period.
Exam (50%, duration: 2 hours) in the LT week 0.

Key facts

Department: Economics

Total students 2015/16: Unavailable

Average class size 2015/16: Unavailable

Controlled access 2015/16: No

Value: One Unit

Guidelines for interpreting course guide information

Personal development skills

  • Self-management
  • Team working
  • Problem solving
  • Application of information skills
  • Application of numeracy skills
  • Specialist skills