Macroeconomic Theory, 2016

This is the module page for EC6012, Macroeconomic Theory, Autumn 2016. Readings and code are available on SULIS.


Module Outline

Data Project, Due Friday of Week 11 at 5PM.

Take Home Exam, Due Wednesday of Week 14 at 5PM.

Lecture Notes

Links will go live the week before the lecture.

Week Topic
1 Introduction to the module, basic economic facts and where to get them. The economy is composed mostly of people. We will start thinking about how to think about organisations of people, counting people, and what these particular time series mean.


2 Short run, crisis macro: IS-MP-PC and financial crises. Foundational, back of the envelope macro.
3 Expectations, Inflation, and Monetary Policy. Applying IS-MP-PC.
4 Models of growth and distribution. The oldest macroeconomic models are models of distribution — who got what, who owned what, what income from what source of wealth — we will study these models.
5 Secular Stagnation: causes, consequences, and possible remedies. The central macro question of our time.
6 Secular Stagnation and Labour-power. The Goodhart-Nangle thesis. Quasi Marxist demographic macro thinking from two very smart people.
7 Understanding national income accounts and business cycle data. These are not neutral elements. Inquiring into their history is very important.
8 No lecture—open days.
9 Cool models of business cycles. Economies fluctuate in their major categories. We review four ways to think about this carefully.
10 The economics of technological change. Will robots eat your job? What does it mean for small open economies like Ireland and Iceland?
11 New economics of exchange rates and capital controls. After Malaysia and Iceland, we now believe in capital controls again. What does this mean for other economies experiencing crises?
12 Debt, Demography, and Fiscal Policy in open economies. Three large, interrelated, policy problems and attempts to model them.