• University of Exeter Business School
• Module

Topics in Macroeconomic Theory I

Module description

This module will cover topics in advanced macroeconomics with emphasis on fundamentals and
applications to recent theoretical advances.

Module aims - intentions of the module

The module explores burgeoning areas of modern macroeconomics, with the aim of enabling students to
write independent research in macroeconomics at the research frontier.

Intended Learning Outcomes (ILOs)

ILO: Module-specific skills

On successfully completing the module you will be able to...

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

ILO: Discipline-specific skills

On successfully completing the module you will be able to...

• 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

On successfully completing the module you will be able to...

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

Syllabus plan

Topics of current macroeconomics research interest, which vary but may include:
i. Economic growth: Neoclassical Growth Model, Optimizing Behaviour in Dynamic Models , Endogenous Technological Change, Imitation and Convergence, Growth and Development Accounting, Appropriate Technology, Political Economy
ii. Heterogeneous Agents and Firms: Firm Dynamics, Income Distribution.
iii. Fiscal Policy: Taxation, Unemployment Insurance, Social Insurance Design
iii. Monetary Economics: models with credit frictions, sticky prices, search.

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

Details of learning activities and teaching methods

Formative assessment

Summative assessment (% of credit)

Details of summative assessment

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

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.

Key words search

Economic Growth, Income Distribution, Monetary Economics