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2012/2013  KAN-OECON_OE35  Dynamic Macroeconomics

English Title
Dynamic Macroeconomics

Course information

Language English
Exam ECTS 7.5 ECTS
Type Elective
Level Full Degree Master
Duration One Semester
Course period Autumn
Changes in course schedule may occur
Wednesday 09.50-12.35, week 37-41, 43-49
Time Table Please see course schedule at e-Campus
Max. participants 50
Study board
Study Board for MSc in Advanced Economics and Finance
Course coordinator
  • Mauricio Prado - Department of Economics
Rikke Glahn - rg.eco@cbs.dk
Main Category of the Course
  • Economics, macro economics and managerial economics
Last updated on 12-06-2012
Learning objectives
Students are required to:
  • understand different models of short-run fluctuations in macroeconomics and give an account for different assumptions and predictions of the models
  • understand different models of consumption and investment and give an account for different assumptions and predictions of the models
  • understand and explain different empirical techniques used to calibrate the different models
  • understand and explain the effects of policies and shocks on the economy using the different models presented during the course.
Please remark that this course is taught at an elite level.To be able to follow the course, it requires background knowledge of mathematics and economics. The key mathematical requirements are knowledge of multivariate calculus, constrained optimization (Lagrangian), Taylor-series approximation, and basic ideas of probability and statistics. In terms of economics, the course requires understanding of intermediate micro- and macroeconomics.
Four hour written exam
Four hour written exam :
Type of test Written Exam
Marking scale 7-step scale
Second examiner No second examiner
Exam period Winter Term, Provisional: The exam will be held in December and re-take will
Aids Open Book, Written Aid is permitted
Duration 4 Hours
To sit at the exam, students must hand in and get approved 3 problem sets.
Course content

The aim of the course is to provide the students with an understanding of short-run fluctuations in macroeconomic variables, i.e., the year-to-year and quarter-to-quarter ups and downs of output, consumption, and investment. Many different models to analyze macroeconomic variables are presented. The models allow for understanding the effect of different economic policies (both temporary and permanent) on the economy. The course is mostly theoretical, but is motivated by use of real-world data. It also presents an empirical point-of-view with calibration techniques.

Teaching methods
The course is composed of lectures and exercise classes as well as problem sets.

Expected literature

Romer, David (2012) Advanced Macroeconomics, McGraw-Hill, 4th edition. Chapters 2, 5, 6, 7, 8, and 9. ISBN 978-0-07-351137-5

Further recommended readings and journal articles will be posted in Learn.


Last updated on 12-06-2012