CARLETON UNIVERSITY Department of Economics

ECON 6021W—Economic Theory: Macroeconomics Winter 2013 Instructor: Mariko J. Klasing Office: A-808 Loeb Office Hours: W, 2:00-3:00PM Email: Phone: 520-2600 ext. 3758 Lectures: Tu, 8:35 PM - 11:25 PM Attention: No class on Feb. 19 COURSE DESCRIPTION: The purpose of this course is to provide Ph.D. students with modern macroeconomic theory. Emphasis is laid on rigorous analysis as well as intuitive grasp of standard models. Topics covered are consumption theory, economic growth, and investment theory. TEXTBOOKS: There is no particular required reading, but the following textbooks are useful for this course. You can find a more detailed list of suggested readings for each of the topics further below. Daron Acemoglu, Introduction to Modern Economic Growth, Princeton University Press, 2008 Philippe Aghion and Peter Howitt, Endogenous Growth, MIT Press, 1997 Robert J. Barro and Xavier Sala-i-Martin, Economic Growth, MIT Press, 2003 Olivier J. Blanchard and Stanley Fischer, Lectures on Macroeconomics, MIT Press, 1989 David Romer, Advanced Macroeconomics, 4th ed., McGraw Hill, 2011



Handbook of Economic Growth. “Natural Selection and the Origin of Economic Growth”.Growth with optimal consumption I: Ramsey-Cass-Koopmans model . “Accounting for the Fertility Decline During the Demographic Transition”.Endogenous Growth II: Innovation-based growth models . 7 Part II: Economic Growth Topics: . “Human-Capital Formation. American Economic Review. Clarendon Press. Introduction to Modern Economic Growth Aghion/Howitt. Life Expectancy. ch. Endogenous Growth Aghion/Howitt: “Growth with Quality-Improving Innovations: An Integrated Framework”. 4. in: Aghion/Durlauf (ed. 2005 Barro/Sala-i-Martin. American Economic Review.Liquidity constraints .Optimal consumption over multiple periods (Life Cycle Model) . “Population. 117:1133-1192. 2004 Galor.Malthus’ population model .Endogenous Growth I: Models with externalities . 1-7 Blanchard/Fischer. and the Process of Development”.ORGANIZATION & READINGS (TENTATIVE): Part I: Consumption Theory Topics: . Understanding Consumption. 2-3 Cervellati/Sunde. Handbook of Economic Growth. ch. “From Stagnation to Growth: Unified Growth Theory. 1989 Romer.). Elsevier.Permanent Income Hypothesis . 2005 Doepke. ch. 90: 806-828. in: Aghion/Durlauf (ed. Technology and Growth: From Malthusian Stagnation to the Demographic Transition and Beyond”. ch. ch.Neoclassical growth: Solow-Swan model . 95: 1653-1672.Optimal consumption under uncertainty . Journal of Economic Growth.Precautionary savings Readings: Blanchard/Fischer.2-period Fischer model . 2.Unified Growth Theory Readings: Acemoglu. 2005 Galor/Moav. Quarterly Journal of Economics.Growth with optimal consumption II: Diamond’s OLG model . ch. Elsevier. 2000 ! #! . 9: 347-383. 2002 Galor/Weil. 6 Angus Deaton.).

16.The effect of temporary vs. permanent shocks . American Economic Review. ch. 86: 874887. Fertility and Growth”. Elsevier. 1-3 Part III: Investment Theory Topics: . ch.C. 2001 Jones. Journal of Political Economy. 2004 Romer. Harvard University Press.External and internal adjustment costs . 108:681-716. Handbook of Economic Growth. Norton. 1993 Lucas.The q-theory of investment . 1990 Romer. 1996 Jones. “The Gender Gap.Galor/Weil. “Population Growth and Technological Change: One Million B. Introduction to Economic Growth. ch. Quarterly Journal of Economics. 8 ! $! . ch.Investment under uncertainty Readings: Blanchard/Fischer. in: Aghion/Durlauf (ed. 98: 71-102. to 1990”. “Growth and Ideas”. Lectures on Economic Growth. “Endogenous Technological Change”. 2005 Kremer. 5.). Ch. 6 Romer.

please see “Pammett on Plagiarism and Paraphrasing” at http://www. Plagiarism: Please be aware that plagiarism is a serious offence at Carleton and should be recognized and avoided. The request should contain a detailed explanation of why you feel you should receive a higher mark. The student must then make an appointment to discuss her needs with the instructor at least two weeks prior to the first academic event in which it is anticipated that the accommodation will be required. Re-marking: Any request for the remarking of exams must be submitted in writing within two weeks of that exam first being returned to the class. Assignments: There are no assignments that are marked for credit. ! %! .ca/economics/courses/writingpreliminaries/. However. As a Please note that remarking will apply to the entire exam not just the contentious question. Consult the Equity Services website or an Equity Advisor (ext. lower than or the same as the original mark. short solutions) for each topic that you should try to solve on your own and that will help you to prepare for the exams. i. For further information on how to do so. The midterm will cover the topics discussed in the first half of the course and the final the topics from the second half of the course. the revised mark may be higher than.carleton. ACADEMIC ACCOMMODATIONS: For Students with Disabilities: Students with disabilities needing academic accommodations in this course are required to contact a coordinator at the Paul Menton Centre (ext.carleton. I will give you a set of exercise questions (incl. For Pregnancy: Pregnant students requiring academic accommodations are encouraged to contact an Equity Advisor in Equity Services (ext 5622) to complete a letter of accommodation. your better grade will account for 60% of the final grade and the other one for 40%.e. 5622) for policies and a list of holy days (www. After registering with the PMC.COURSE EVALUATION: Midterm (written): date: TBA Final (written): date: April 9 The weight allocation is 40/60. make an appointment to meet and discuss your needs with me in order to make the necessary arrangements as early in the semester as possible. Please note that the deadline for submitting completed forms to the Paul Menton Centre is March 12. 2010. 6608) to complete the necessary Letter of Accommodation. but no later than two weeks before the first assignment is due or the first test requiring accommodations is taking place. For Religious Obligations: To be worked out on individual basis with instructor. We will decide on the dates for the midterm and final in class.