Macroeconomics 3 (MakØk3) - Business cycles and monetary stabilization policies

Fall 2021 Block 2

Contact: laura.sunder-plassmann@econ.ku.dk
The course description is in the course catalog
Exam dates: Jan 29, 2022. Retake Apr 22, 2022 (see the exam schedule)
All class materials can be accessed from this main course page (https://absalon.ku.dk/courses/49897), I will add links below as we go through the course
This course outline is subject to change; changes will be announced and posted
Red (mostly exercises): in person. Blue (lectures): Online

Week	Monday 9-12, Aud 02 HCØ	Tuesday 13-16, Aud 08 HCØ
47	Nov 22 Lecture Introduction (Gali Ch 1) lecture1.pdf Questionnaire Quiz after lecture 1	Nov 23 Lecture A Classical Monetary Model (Gali Ch 2) Lecture 2 part 1 Lecture 2 part 2 Lecture 2 part 3 lecture2.pdf Quiz after lecture 2
48	Nov 29 Lecture Basic New Keynesian Model (Gali Ch 3) Lecture 3 part 1 Lecture 3 part 2 lecture3.pdf Quiz after lecture 3	Nov 30 Exercises (Gali Ch 2) Exercises_ch2.pdf Exercises_ch2_solutions.pdf Exercises_ch2_slides.pdf
49	Dec 6 Lecture Monetary Policy Design (Gali Ch 4) Lecture 4 lecture4.pdf Quiz after lecture 4	Dec 7 Exercises (Gali Ch 3) Exercises_ch3.pdf Exercises_ch3_slides.pdf Exercises_ch3_solutions.pdf
50	Dec 13 Lecture Monetary Policy Tradeoffs I (Gali Ch 5) Lecture 5 part 1 Lecture 5 part 2 lecture5.pdf Quiz after lecture 5	Dec 14 Exercises (Gali Ch 4) Exercises_ch4.pdf Exercises_ch4_slides.pdf Exercises_ch4_solutions.pdf
51	Dec 20 Lecture: Monetary Policy Tradeoffs II: ZLB (Gali Ch 5) and Sticky wages (Ch 6) Lecture 6 part 1 Lecture 6 part 2 lecture6.pdf Quiz after lecture 6	Dec 21 Exercises (Gali Ch 5) Exercises_ch5.pdf Exercises_ch5_slides.pdf Exercises_ch5_solutions.pdf policy_decisions.pdf
52	Juleferie
1	Juleferie
2	Jan 10 Lecture Fiscal policy at the ZLB (Mertens Ravn 2014) Paper: Mertens and Ravn 2014.pdf Lecture 7 lecture7.pdf Quiz after lecture 7	Jan 11 Exercises (Gali Ch 6) Exercises_ch6.pdf Exercises_ch6_slides.pdf Exercises_ch6_solutions.pdf
3	Jan 17 Lecture Open economy (Ch. 8) lecture8.pdf Lecture 8 Quiz after lecture 8	Jan 18 Review Brief intro to inequality with overview article and reading list exam_tips.pdf
4	Exam week

Main exam and retake exams with solutions:

exam_solutions.pdf

reexam_solutions.pdf

Previous exams:

Exam Jan 2019/20 questions.pdf Solutions: Exam Jan 2019/20.pdf

Exam Apr 2019/20 questions.pdf Solutions: Exam Apr 2019/20.pdf

Exam Jan 2020/21 questions.pdf Solutions: Exam Jan 2020/21.pdf

Exam Apr 2020/21 questions.pdf Solutions: Exam Apr 2020/21.pdf

Reading:

Galí, Jordi, 2015: Monetary Policy, Inflation, and the Business Cycle (Second Edition, Princeton)

Mertens, K., and M. Ravn, 2014: Fiscal Policy in an Expectations-Driven Liquidity Trap. Review of Economic Studies, vol. 81(4), p. 1637-1667

Typos - I've uploaded the old versions with typos highlighted here. The updated versions are further up in the course outline.

Exam Jan 2020/21: Solutions to Problem A.3 missing, now uploaded the corrected version above

Exercise 4: solutions page 2/3, page 7; slides page 6 and 8 Exercises_ch4_solutions_typo.pdf Exercises_ch4_slides_typo.pdf

Exercise 3: solutions page 3; slides page 11 Exercises_ch3_solutions_typo.pdf Exercises_ch3_slides_typo.pdf

Exercise 2: solutions page 11 Exercises_ch2_solutions_typo.pdf