Postgraduate Coursework Units of Study

ECON6902 - Macroeconomics Analysis 2

Semester 2, 2011  |  Credit Points: 6

Coordinator: Denny Lie

Description

The goal of this unit is to present a coherent framework for thinking about fundamental issues in macroeconomics in a national and international context. This framework provides microeconomic foundations and involves inter-temporal analysis which assumes a basic understanding of dynamic programming. Various dynamic modelling strategies - finite and infinite horizon models, OLG models - are compared with reference to issues such as Ricardian equivalence. The role of international capital markets in uncertain open economies is studied, and asset pricing and investment in global macroeconomic equilibrium using Arrow-Debreu contingent claims is explained. The roles of money, the implications of imperfections such as nominal rigidities, and the connections to modern growth theory are developed in this general framework.

Assessments

Problem sets (15%); Presentation & participation (15%), Mid-semester exam (30%); Final exam (40%)

Classes

1x 3hr seminar per week

Prerequisites

ECON6002 with a Distinction grade.

Additional Information

Students must seek written permission from the Chair of the Discipline of Economics to enrol in this unit.

The information displayed above is indicative only as online information is subject to change without notice. The Faculty Handbook and the University of Sydney Calendar are the official legal source of information relating to study at the University of Sydney