Advanced Macroeconomics: Modern approach


This course is the introduction to modern macroeconomic modeling. The first part of the course is devoted to the growth model and its extensions, which is the workhorse framework of most macro models, as well as analytical and numerical approaches to solve it. The topics will include competitive and recursive equilibrium, dynamic programming, lack of commitment and more. In the second part of the course we will introduce fiscal and monetary policy to the growth model and consider, among others, New Keynesian, optimal taxation and government debt models. If time permits, we can go over some open macro, financial stability and/or heterogeneous agent models. Overall, the course is a mix of tools and their application to specific macroeconomic questions. MatLab and Dynare will be used for some topics.