ECON 302 Macroeconomic Theory 2 Instructor: Sharif F. Khan
Department of Economics University of Waterloo Fall 2011
Assignment 4 (Optional)
Total Marks: 15 Marks
Read each part of the question very carefully. Show all the steps of your calculations to get
ECON 302 Macroeconomic Theory 2 Instructor: Sharif F. Khan
Department of Economics University of Waterloo Fall 2011
Suggested Solutions to Assignment 4 (Optional)
Total Marks: 15 Marks
Read each part of the question very carefully. Show all the steps of y
ECON 302 Macroeconomic Theory 2 Instructor: Sharif F. Khan
Department of Economics University of Waterloo Fall 2011
Suggested Solutions to Assignment 2 (Optional)
Total Marks: 50 Marks
Read each part of the question very carefully. Show all the steps of y
Economics 302
Winter 2013
Consumer Optimization: Review Questions
1
Short Answer Questions
1. Explain why macroeconomic theory uses optimization based models.
2. Explain how aggregation of individual preferences can be problematic
(you should refer to inc
Economics 302
Doyle
April 14th, 2014
Final Exam
Out of 51 points
1. Answer the following questions in a few lines. You may use graphs and/or
equations to accompany your written answer.
(a) Evaluate the following statement: When interest rates fall, consum
UNIVERSITY OF
WATE R LOO
EXAMINATION BOOKLET
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Section # / Class Time . . .
Instructor . . . .
Date of Examination . . . 4| '
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Economics 302 - Fall 2008 Macroeconomic Theory II Assignment 1 September 30, 2008 Jean-Paul Lam The assignment is due on Thursday October 9, 2008 in class. Except for exceptional circumstances, meaning valid medical reasons, failure to do so will res
ECON 302 Macroeconomic Theory 2 Instructor: Sharif F. Khan
Department of Economics University of Waterloo Fall 2011
Assignment 2 (Optional)
Total Marks: 50 Marks
Read each part of the question very carefully. Show all the steps of your calculations to get
Macroeconomic Theory 2 - Economics 302 - Section 001
Midterm Exam 1 Winter 2014 - Answer key
Part II: Short Questions
Draw appropriate diagram when necessary. Provide explanation for each diagram.
Answer all questions in the exam booklet. Show your work.
ECON 302 Macroeconomic Theory 2 Instructor: Sharif F. Khan
Department of Economics University of Waterloo Fall 2011
Suggested Solutions to Assignment 3 (Optional)
Total Marks: 80 Marks
Read each part of the question very carefully. Show all the steps of y
January 12, 2005
Macroeconomics: A Modern Approach
Robert J. Barro
Detailed Table of Contents
Part I. Introduction
1. Thinking about Macroeconomics
I. Output, Unemployment, and Prices in U.S. History
II. Economic Models
A. A simple example—the coffee mark
Economics 302
Winter 2014
Static General Equilibrium with Production:
Using Diagrams
1
Problems
1
1. Let the production function be Y = zK N d . Depict the competitive
equilibrium outcome when the utility function takes the following forms:
(a) U (C, l) =
Lecture Note
Chapter 11-Inflation, Money
Growth, and Interest Rates
Econ 302Macroeconomic Theory
2
Department of
Introduction
In chapter 10, we studied the determination of the price
level, P.
Now we will consider inflation- the continuous upward
movement
Lecture Note
Chapter 12 Government
Expenditure
Econ 302Macroeconomic Theory
2
Department of
Introduction
Up to now, government had very limited
functions in our equilibrium business cycle
model.
We considered only lump sum transfers by
government that was
Economics 302
Winter 2014
Consumer Optimization: Calculus
1. Show that the term = U22 + 2wU12 w2 U11 must be positive when
the utility function is quasiconcave.
2. Solve the consumers optimization problem where = T = 0, w = 3,
and h = 4. Let the consumers
Economics 302
Winter 2014
Consumer Optimization: Using Diagrams
1
Problems
1. Draw a typical indierence curve for the following utility functions:
(a) U (C, l) = aC l ,
(b) U (C, l) = aC + l,
(c) U (C, l) = C 0.5 + l,
(d) U (C, l) = mincfw_C, l,
(e) U (C,
Economics 302
Winter 2014
Static General Equilibrium with Production:
Using Calculus
1
Problems
Comment: on an exam I will generally ask you to dene equilibrium, to
formally write out the rm and household problems and to interpret the rst
order conditions
Economics 302
Winter 2014
Consumption-Savings Problems: Calculus
Approach
Calculate answers to the following questions:
1. Derive the governments lifetime budget constraint. Express it in terms
of: i) current income, and ii) future income.
2. Show that ma
Economics 302
Winter 2014
Firm Optimization: Using Calculus
1. Let the production function be Y = zK N d .
(a) Is this production function increasing, decreasing, or constant returns to
scale (how does your answer depend on the values of and .
(b) Are the
Lecture Note
Chapter 8- An Equilibrium
Business Cycle Model
Econ 302Macroeconomic Theory
2
Department of 1
Topics covered
Real GDP = Trend real GDP + Cyclical
part of real GDP
Measure of cyclical part of aggregate
macroeconomic variables using the H-P
fil
Lecture Note
Chapter 9 - Capital Utilization
and Unemployment
Econ 302Macroeconomic Theory
2
Department of
Preview
The equilibrium business cycle model from chapter 8
explains a number of features of economic fluctuations.
However, an important shortcomin
Two Period Model
Econ 302
March 6, 2017
1 / 38
Introduction
In the previous lectures, we examined the static decision of the consumer
and the firm and also define a competitive equilibrium
We also saw conditions under which the competitive equilibrium may
Two Period Model with Government
Econ 302
March 16, 2017
1 / 39
Introduction
Now that we have explored how the consumers choose the optimal allocation
across time, we can introduce the government as an agent in the model
In particular, we can examine the
Overlapping Generations Model
Econ 302
March 21, 2017
1 / 58
Outline for todays lecture
Introduction to a 2 generations OLG model
Endowment economy
Social security
Introduce money
2 / 58
Social security
The OLG model can be used to analyse many policy iss
Macroeconomic Theory II
Malthusian Model of Economic Growth
Jean-Paul Lam
January 8, 2017
1 / 60
Malthusian model of growth
When Thomas Malthus wrote his influential book An Essay on the Principle
of Population in 1798, he did not formulate a formal theor
Lecture Note
Chapter 6 Markets, Prices,
Econ Demand
Supply and302-
Macroeconomic Theory
2
Department of 1
Topics covered
Markets in the Macroeconomy:
-The Goods Market
-The Labour Market
-The Rental Market
-The Bond Market
Markets and Prices
-The price le
Econ 302- Macroeconomic Theory 2
Lecture Note
Chapter 2- National Income
Accounting: Gross Domestic Product
and the Price Level
Department of
Economics
University of Waterloo
Fall 2013
1
Preview
Chapter 2 introduces the system of National Income
Accounts
Lecture Note
Chapter 5- Conditional
Econ 302Convergence and Long Run
Macroeconomic Theory
Economic Growth
2
Department of
1
Preview
In last two chapters, we discussed the Solow-Swan
growth model which was based on the accumulation
of capital per worker.
T
Lecture Note
Chapter 4-Working With the
Solow Growth Model
Econ 302Macroeconomic Theory
2
Department of
Key Equations of
The Solow Growth Model
k/k = s(y/k) s n
k is capital per worker
y is real gross domestic product (real GDP)
per worker
y/k is the aver
Econ 302-Macroeconomic
Theory 2
Lecture Note Chapter 3
Introduction to Economic
Department of
Growth
Economics
University of Waterloo
Fall 2013
Preview
This chapter discusses the importance of
economic growth for raising living
standards over time and pro
Economics 302 - Macroecononomic Theory II
Winter 2017
Jean-Paul Lam
Assignment 1
Answer all question as completely as possible. Explain your answer carefully and show all your
work. This assignment is due on Thursday February 9 in class. Any late assignme
Economics 302 - Macroeconomic Theory II
Winter 2017
Jean-Paul Lam
Assignment 2
Answer all the questions as completely as possible. Explain your answer carefully and show all
your work. This assignment is due on Thursday March 9 in class.
1. Consider the f
Economics 302 - Macroecononomic Theory II
Winter 2017
Jean-Paul Lam
Assignment 1 - Solutions
Answer all question as completely as possible. Explain your answer carefully and show all your
work. This assignment is due on Thursday February 9 in class. Any l
Economics 302 - Macroecononomic Theory II
Winter 2017
Jean-Paul Lam
Assignment 2 - Solutions
1. Consider the following growth model with human capital:
The production function is given by:
Yt = Kt0.5 (uHt )0.5
(1)
where Kt is the level of physical capital
Macroeconomic Theory II- Econ 302
OLG - Government and Social Security
March 28, 2017
1 / 28
Government taxes
We modify the simple OLG model to assume that the young can work
The young person has one unit of time and devotes all of his/her time to
work (n