Topics in Macroeconomics
The recent financial crisis and the ensuing slow recovery prompted macroeconomists to substantially enrich their workhorse modelling framework. In particular, the role of financial intermediation is articulated more carefully and more attention is paid to differences in the circumstances of individual actors. The objective of this course is to introduce students to these advances. An important step in this endeavor is to discuss the expanded numerical toolkit that is necessary to analyze these models.
Learning outcomes. After completing the course students will (1) understand the key topics discussed in current research papers on financial frictions and the role of heterogeneity in the macroeconomy. (2) They will also have an understanding of the methodological issues presented by these models and hands-on experience with using these techniques.
Assessment will be based on problem sets (50%) and a final exam (50%).
Prerequisites. The course is intended for PhD students and knowledge of the material covered in the Advanced Macroeconomics class is assumed.