Macroeconomic Theory, Economics 503, 2nd half
. New items in red.
Contact Information
Course Materials
- Final exam, with answers
- Notes on a monetary model
- These notes discuss the nonlinear model we considered in class, using both a nonlinear Taylor rule and
a fixed-M monetary policy, and a Kocherlakota-Phelan-type uniquely determined explosive equilibrium with
active monetary policy.
- Notes on policy, expectations and learning
- Notes on optimal distorting taxation
- Notes on capital taxes, Ricardian equivalence, tax burden shifting.
- Exercise on Optimal Fiscal Policy, due Friday, January 11
- Answers to Exercise, with typo-corrected exercise
- Notes: New Keynesian stickiness
- Notes: Stickiness without allocative effects
- Exercise on price determinacy and linear RE models, due 12/5. Francesco's answer.
- Notes on pitfalls of linearized models
- Exercise on transversality, Due Wednesday, 11/14 Now with answers.
- The Linear-Quadratic Permanent Income Model; Stochastic Lagrange Multipliers and Transversality: Lecture 1
- More complete notes on transversality