Skip to main content


Macroeconomic Theory II

Module description

The module covers topics in modern macroeconomics with an emphasis on tools necessary to pursue research in macroeconomics.

Full module specification

Module title:Macroeconomic Theory II
Module code:BEEM141
Module level:M
Academic year:2023/4
Module lecturers:
  • Dr Elisa Keller - Lecturer
Module credit:15
ECTS value:



BEEM138. Only available to students on the MRes Economics and MRES Economics (PHD Pathway) programmes.



Duration of module: Duration (weeks) - term 2:


Module aims

The module explores core areas of modern macroeconomics with the aim to develop an understanding of macroeconomic models that enables students to use them to tackle macroeconomic questions. The emphasis will thus be on learning theoretical concepts and analytical techniques by using them in the process of discussing relevant modern macroeconomic topics.

ILO: Module-specific skills

  • 1. address complex questions at the frontier of macroeconomic research systematically and creatively.
  • 2. make sound judgments and communicate their conclusions to specialists and non-specialists.

ILO: Discipline-specific skills

  • 3. demonstrate self-direction and originality in tackling and solving macroeconomics problems.
  • 4. continue to advance their knowledge and understanding, and to develop new skills to a high level.

ILO: Personal and key skills

  • 5. identify, tackle and solve relevant research problems in macroeconomics.
  • 6. work independently and responsibly on complex research problems.

Learning activities and teaching methods (given in hours of study time)

Scheduled Learning and Teaching ActivitiesGuided independent studyPlacement / study abroad

Details of learning activities and teaching methods

CategoryHours of study timeDescription
Schedules learning and teaching22Lectures
Schedules learning and teaching10Tutorials
Independent Study118Independent study

Formative assessment

Form of assessmentSize of the assessment (eg length / duration)ILOs assessedFeedback method
Practice ProblemsVaries1-6Oral/Written

Summative assessment (% of credit)

CourseworkWritten examsPractical exams

Details of summative assessment

Form of assessment% of creditSize of the assessment (eg length / duration)ILOs assessedFeedback method
Exam553 hours1-6Oral/Written
Problem Sets151-4 Problems each1-6Oral/Written
Problem Sets151-4 Problems each1-6Oral/Written
Problem Sets151-4 Problems each1-6Oral/Written

Details of re-assessment (where required by referral or deferral)

Original form of assessmentForm of re-assessmentILOs re-assessedTimescale for re-assessment
ExaminationExamination 55% (3 hours)1-6August examination period
Problem SetsProblem Sets 15%1-6August examination period
Problem SetsProblem Sets 15%1-6August examination period
Problem SetsProblem Sets 15%1-6August examination period

Syllabus plan

1.) Business Cycles: Real Business Cycles, Nominal Rigidities, Monetary Policy
2.) Labour Markets: Search and Matching, Labour Market Policy, Efficiency Wages, Growth and Unemployment.
3.) Financial Markets: Asset Pricing, Incomplete Markets, Banking and Credit, Financial Frictions.

Indicative learning resources - Basic reading

- Romer, Advanced Macroeconomics, McGraw-Hill Advanced Series in Economics, New
York, 2012.
- Ljungqvist and Sargent, Recursive Macroeconomic Theory, MIT Press, 2004.
- Stokey and Lucas, with Prescott, Recursive Methods in Economic Dynamics, Harvard
University Press, 1989.
- D. Acemoglu, Introduction to Modern Economic Growth, Princeton University Press, 2009.
- Barro and Sala-i-Martin, Economic Growth, McGraw-Hill, 1997.
- Obstfeld and Rogoff, Foundations of International Macroeconomics, MIT Press, 2000.
- Aghion and Howitt, Endogenous Growth Theory, MIT Press 1998.
- Pissarides, Equilibrium Unemployment Theory, MIT Press 2000.
- Walsh, Monetary Theory and Policy, MIT Press, 2010.

Module has an active ELE page?


Origin date


Last revision date