MACROECONOMIC ANALYSIS
Obiettivi formativi
Provide basic notions and methods of advanced macroeconomic theory with special focus on consumption, asset pricing, economic growth and equilibrium
Prerequisiti
Elementary macroeconomic and microeconomic theory, basic notions in calculus
Contenuti Del Corso
Introduction to advanced macroeconomics with focus on the theory of consumption and asset pricing, neoclassical growth, endogenous growth and equilibrium.
Testi Di Riferimento
Lecture notes provided on the instructor's webpage
Metodologie Didattiche
Lectures, review sessions based on class assignments where students have to make presentations.
Modalità di verifica dell'apprendimento
Written exam supplemented by a mid term exam and evaluation of the presentations in the review sessions.
Criteri per l’assegnazione dell’elaborato finale
NA
Settimana 1
The Solow growth model. Dynamic Efficiency.
Settimana 2
Optimal growth: framework and solution methods.
Settimana 3
Stability analysis, optimal growth with overlapping generations, introducing uncertainty
Settimana 4
Savings and consumption in market economies: preferences, budget sets, debt limits, Ponzi games, present value representation of the life-time budget constraint.
Settimana 5
The consumption function, the permanent income hypothesis.
Settimana 6
Savings and consumption and Euler equations under uncertainty with complete and incomplete markets.
Settimana 7
The certainty equivalence model and the notion of precautionary savings.
Settimana 8
Asset Pricing, risk premia and market fundamentals.
Settimana 9
Equilibrium with complete markets, consumption smoothing and risk sharing.
Settimana 10
Competitive equilibria in the Overlapping Generations Model.
Settimana 11
Validity and Failure of the First welfare Theorem.
Settimana 12
Review.