Aims

By the end of the course, students will be able to formulate a simple, coherent macro-economic model, transcribe it into an estimable model, and use it to answer questions of application in macro-economics, and particularly issues of economic policy.

Main themes

This course extends basic teaching in macro-economics and related subjects through applied analyses at intermediate level. It aims to enable students to fully understand the movement from a theoretical model to empirical applications, with particular attention being drawn to inherent methodological problems.

Content and teaching methods

Content
The course is concerned with the passage from theoretical to empirical models, and accordingly focuses on a study of the main behaviour equations of a macro-econometric model of a small open economy: the supply and demands of factors, consumption and savings, prices and salaries, and foreign trade. The accent is on the theoretical bases of each of the equations (including the interrelationships that are key to the internal coherence of the model and its medium-term plausibility), ways of estimating the parameters that characterise these equations, and the interpretation and criticism of outcomes of the model and implications in terms of economic policy. This approach will also look at an approximation and the development of the main rates and of certain macro-economic elasticities.
Method
Each group of students will be responsible for a theme for which they will present regular updatings (following consultation with the teacher between sessions).

Other information (prerequisite, evaluation (assessment methods), course materials recommended readings, ...)

Two-year degree courses in Economic Sciences.


Assessment will be based on the final work report, and on a test of all the themes examined.
Booklists will be provided at the beginning of the course.