Checking date: 15/07/2021


Course: 2021/2022

Topics in macroeconomics (A)
(16867)
Study: Master in Economic Analysis (68)
EPC


Coordinating teacher: JEREZ GARCIA-VAQUERO, MARIA BELEN

Department assigned to the subject: Department of Economics

Type: Electives
ECTS Credits: 4.0 ECTS

Course:
Semester:




Requirements (Subjects that are assumed to be known)
Macroeconomics I, Macroeconomics II and Macroeconomics III. Microeconomics I and II.
Objectives
The goal of this course is to study models that incorporate two types of frictions: search and spatial. The course is divided in two parts. The first part will consist of a theoretical exploration of search equilibrium models. The second part will introduce models employed in the study of the role of spatial frictions in the economy.
Skills and learning outcomes
Description of contents: programme
Part I. Search theory 1. Random search and Bargaining 2. Random Search and Price Posting 3. Directed or Competitive Search. Part II: Spatial Macroeconomics 1. The Classics & the New Economic Geography Workhorse Models: Rosen-Roback, McFadden, Krugman Quantitative Applications 2. Quantitative Spatial Economics Workhorse Models: Allen and Arkolakis & Eaton Kortum Quantitative Applications 3. The Organization of Production Workhorse Models: Sattinger, Lucas, Garicano & Rossi-Hansberg Quantitative Applications 4. Input-Output Networks Workhorse Models: Acemoglu, Oberfield Quantitative Applications: TBD
Learning activities and methodology
Learning activities Lectures Group and individual assignments Reading assignments and class discussions Office hours Methodology Lectures in which the professor teaches basic concepts and presents the readings necessary to complement the class activities. Critical readings of the material presented by the professor. One assignment consisting of writing a referee report on a seminal or contemporary paper. One numerical assignment consisting of replicating and extending the code of a quantitative paper.
Assessment System
  • % end-of-term-examination 60
  • % of continuous assessment (assigments, laboratory, practicals...) 40
Calendar of Continuous assessment
Basic Bibliography
  • Acemoglu, D., Carvalho V., Ozdaglar A., and Tahbaz-Salehi A.. The Network Origins of Aggregate Fluctuations. Econometrica, 80(5): 1977-2016. 2012
  • Eaton, J., and Kortum S.. Technology, Geography, and Trade. Econometrica, 70(5): 1741-1779. 2002
  • Garicano, L., and Rossi-Hansberg, E.. Organization and Inequality in a Knowledge Economy. The Quarterly Journal of Economics, 121(4): 1383-1435. 2006
  • Guerrieri, V., Julien B., Kircher P., and Wright R.. Directed and Competitive Search: A Guided Tour. Journal of Economic Literature, 2021 59(1): 90-148. 2021
  • Krugman, P.. Increasing Returns and Economic Geography. Journal of Political Economy, 99(3): 483-499. 1991
  • Lucas, R.. On the Size Distribution of Business Firms. Bell Journal of Economics, 9(2): 508-523.. 1978
  • McFadden, D.. Modelling the Choice of Residential Location. Cowles Foundation Discussion Papers 477, Cowles Foundation for Research in Economics, Yale University.. 1977
  • Mortensen, D., and Pissarides, C.. Handbook of Labor Economics volume 3B, chapter New Developments in Models of Search in the Labor Market.. University of Chicago Press for the NBER.. 1999
  • Oberfield, E.. A Theory of Input--Output Architecture. Econometrica, 86(2): 559-589. 2018
  • Pissarides, C. . Equilibrium Unemployment Theory. MIT Press. 2000
  • Roback, J.. Wages, Rents, and the Quality of Life. Journal of Political Economy, 90(6): 1257-1278. 1982
  • Rogerson, R., Shimer, R., and Wright, R. . Search-theoretic models of the labor market: A survey. Journal of Economic Literature, 43(4):959¿988. 2005
  • Sattinger, M.. Assignment Models of the Distribution of Earnings. Journal of Economic Literature, 31(2): 831-880. 1993
  • Treb A., and Arkolakis C.. Trade and the Topography of the Spatial Economy. The Quarterly Journal of Economics, 129(3): 1085-1140. 2014
Detailed subject contents or complementary information about assessment system of B.T.

The course syllabus and the academic weekly planning may change due academic events or other reasons.