Readings are listed by session. Core textbooks for the whole course are listed at the end.
Lecture 1: The Dynamic Household: Intertemporal Choice and Euler Equations
Ljungqvist and Sargent, Recursive Macroeconomic Theory; Deaton, Understanding Consumption.
Lecture 2: Firms, Capital Accumulation, and Investment
Hayashi (1982), “Tobin's Marginal q and Average q”; Ljungqvist and Sargent, Recursive Macroeconomic Theory.
Lecture 3: Solow and Ramsey Growth: Steady States and Transitional Dynamics
Acemoglu, Introduction to Modern Economic Growth; Barro and Sala-i-Martin, Economic Growth.
Lecture 4: Real Business Cycle Models and Competitive Equilibrium
King, Plosser and Rebelo (1988); Heer and Maussner, Dynamic General Equilibrium Modeling.
Lecture 5: Nominal Rigidities, Calvo Pricing, and the New Keynesian Phillips Curve
Galí, Monetary Policy, Inflation, and the Business Cycle; Woodford, Interest and Prices.
Lecture 6: The Three-Equation New Keynesian Model
Galí, Monetary Policy, Inflation, and the Business Cycle; Clarida, Galí and Gertler (1999).
Lecture 7: Monetary Policy: Rules, Commitment, and the Effective Lower Bound
Woodford, Interest and Prices; Clarida, Galí and Gertler (1999); Galí, Monetary Policy, Inflation, and the Business Cycle.
Lecture 8: Fiscal Policy, Public Debt, and Monetary-Fiscal Interactions
Leeper (1991); Woodford, Interest and Prices; Blanchard, Macroeconomics.
Lecture 9: Open-Economy Macroeconomics and Exchange-Rate Dynamics
Obstfeld and Rogoff, Foundations of International Macroeconomics; Galí and Monacelli (2005).
Lecture 10: DSGE Solution Methods: Linearization, Perturbation, and QZ
Klein (2000); Sims (2002); Heer and Maussner, Dynamic General Equilibrium Modeling.
Lecture 11: DSGE Estimation: Likelihood, Bayesian Inference, and Model Evaluation
An and Schorfheide (2007); Fernández-Villaverde (2010); Herbst and Schorfheide, Bayesian Estimation of DSGE Models.
Lecture 12: Heterogeneous-Agent Macroeconomics and Incomplete Markets
Aiyagari (1994); Huggett (1993); Ljungqvist and Sargent, Recursive Macroeconomic Theory.
Lecture 13: HANK Models: Distribution Dynamics and Aggregate Transmission
Kaplan, Moll and Violante (2018); Auclert et al. (2021); Achdou et al. (2022).
Lecture 14: Quantitative Macro Policy Analysis, Validation, and Replication
Smets and Wouters (2007); Fernández-Villaverde (2010); Del Negro and Schorfheide, DSGE Models in Macroeconomics.
Core textbooks
- Ljungqvist and Sargent, Recursive Macroeconomic Theory.
- Galí, Monetary Policy, Inflation, and the Business Cycle.
- Woodford, Interest and Prices.
- Heer and Maussner, Dynamic General Equilibrium Modeling.
- Acemoglu, Introduction to Modern Economic Growth.
- Obstfeld and Rogoff, Foundations of International Macroeconomics.