Introduction to Advanced Macroeconomic Analysis II

Undergraduate / Graduate

This course introduces concepts and tools for advanced macroeconomics. It builds on ECMA 33220. We discuss the decision of consumption and investment over time, monetary economics, fiscal policy, asset pricing, and international economics. We introduce numerical methods to solve problems in economics and finance such as methods to solve nonlinear equations and to generate random numbers. These methods are useful when we solve economic models through value-function iterations, quadratic linearization, and other methods. Some topics discussed are the welfare cost of inflation, portfolio allocation, the yield curve and economic activity, optimal taxation, and financial markets and monetary policy. As ECMA 33220, this course is useful for students interested in increasing their knowledge in macroeconomics for careers involving macroeconomic analysis and as preparation for graduate school. Knowledge of calculus and linear algebra is expected.