ECON 9921 Advanced Macroeconomics II 3.0 Credits
The key objective of this course isto expose students to modern dynamic macroeconomics, with emphasis on monetary economics. Students will study the real and nominal effects of monetary policy in Dynamic Stochastic General Equilibrium (DSGE) models. More specifically, students will focus on (sub-optimal) interest rate rules and optimal monetary policy (under commitment and discretion), with some discussion about the recent “average inflation targeting” policy adopted by the Federal Reserve. Students will analyze some extensions to the benchmark model, such as the credit channel of policy transmission, limited access to financial markets, multiple sectors, positive trend inflation, and open economies. The course also provides an introduction to numerical methods to solve DSGE models with Matlab.
Repeat Status: Not repeatable for credit
Restrictions: Can enroll if classification is PhD.
Prerequisites: ECON 920 [Min Grade: C] or ECON 9920 [Min Grade: C]