Macro II Syllabus Spring 2009 Graduate Econ 514 Tuesdays and Thursdays, 12:30 - 1:45 PM, Econ 1008 Prof. Matias Fontenla
[email protected] O¢ ce: Econ. 2003 O¢ ce hrs: T Th, 11:00 - 12:00 pm TA: Apsara Nepal
[email protected] O¢ ce: Econ. 2011 O¢ ce hrs: M W, 10:00 - 11:00 am Course Description This is the second course in the Macroeconomic Theory sequence in requirement for the Ph.D. program in Economics at the University of New Mexico. We will cover, given our time constraints, some of the key basic models which are the foundations of most modern research in macroeconomic theory. Readings There is no required textbook for this course. The readings draw on several textbooks, lecture notes and academic articles detailed below. Most readings will be available through the course web page, http://vista.unm.edu. You are expected to come to class prepared and actively participate in classroom exercises and discussions. Highly recomended readings are indicated by *. Grading There will be a midterm exam (30% of the grade), a comprehensive …nal exam(40%), and various problem sets (30 %). Course Outline 1. The Basic Solow Growth Model - * Barro and Sala-i-Martin, ch 1. - Heijdra and van der Ploeg, ch 14.1-14.4. - Romer, ch 1. 2. Growth With Consumer Optimization - * "The Optimal Growth Problem" lecture notes. - Blanchard and Fischer, ch 2. 3. The Ramsey Model 1
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- * "The Ramsey-Cass-Koopmans Model" lecture notes. - Heijdra and van der Ploeg, ch 14.5. - Barro and Sala-i-Martin, ch 2. Overlapping Generations Model, Money and In‡ation - * Champ and Freeman, chs 1, 3. - Blanchard and Fischer, ch 3. - Romer, ch 2B. Financial Intermediation - * Freixas and Rochet, ch 2.2, 7. - Diamond and Dybvig (1983). Real Business Cycle Theory - * Stokey and Lucas, ch 2. - Romer, ch 4. Asset Pricing - * Ljungqvist and Sargent, ch 13. Search, Matching and Unemployment - * Ljungqvist and Sargent, ch 6. - Heijdra and van der Ploeg, ch 9.
Important Dates February 13, Friday Last day to change grading options Last day to drop a course without a grade February 27, Friday Midterm Exam March 12, Thursday Spring recess March 14-21 Last day of instruction May 7, Thursday Final exam Thursday, May 14, 10:00 - 12:00 PM
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References [1] Barro, Robert and Xavier Sala-i-Martin, (2003). Economic Growth, second edition. MIT Press. [2] Blanchard, Olivier and Stanley Fischer, (1989). Lectures on Macroeconomics. MIT Press. [3] Champ, Bruce and Scott Freeman, (2001). Cambridge University Press.
Modeling Monetary Economies.
[4] Diamond, D. and P. Dybvig, (1983). “Bank Runs, Deposit Insurance, and Liquidity”, Journal of Political Economy, Vol. 91, p. 401-19. [5] Freixas, Xavier and Jean-Charles Rochet, (1997). Microeconomics of Banking. MIT Press. [6] Heijdra, Ben J. and Frederick van der Ploeg, (2002). Foundations of Modern Macroeconomics. Oxford University Press. [7] Ljungqvist,Lars and Tom Sargent, (2004). Recursive Macroeconomic Theory, second edition. MIT Press. [8] Romer, David, (2006). Advanced Macroeconomics, third edition. Mc Graw-Hill. [9] Stokey, Nancy and Robert Lucas, with Ed Prescott, (1989). Recursive Methods in Economic Dynamics. Harvard University Press.
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