Real Business Cycle (RBC) Theory, Part 1
ECON 6002
Denny Lie
Lecture Slides 6
Suggested readings
I
DR 5.1-5.4
I
"Inuences on the Australian Business Cycles" (Downes, P., C.
Louis, and C. Lay), Macroeconomic Analysis Branch, Australian
Treasury
(http:/www.
Growth, some new things
ECON 6002
Aarti Singh
Lecture Slides 5
Outline
Golden rule (revisit)
Solow with natural resources and land
Growth and Inequality
Outline
Golden rule (revisit)
Solow with natural resources and land
Growth and Inequality
Golden rule
Lecture 1: Basic Math Concepts
Aarti Singh
Lecture Slides 1
Outline
Important Mathematical Concepts (see also CJ, Appendix A)
Outline
Important Mathematical Concepts (see also CJ, Appendix A)
Chain rule, log and exponential functions I
I
Dierentiation and
Cass-Ramsey Model
ECON 6002
Aarti Singh
Lecture Slides 3
Suggested readings
I
DR 2.12.7 (for the original continuous-time version of the model)
2 / 43
Motivations
I
One of the drawbacks of Solow model: exogenous saving rate.
I
it lacks microeconomic under
Lecture 1: Stylized Facts of Economic Growth
Aarti Singh
Lecture Slides 1
Outline
Stylized Facts of Economic Growth
Outline
Stylized Facts of Economic Growth
Introduction
I
Snapshot view
I
In 2000, GDP per capita in the United States was $32500 (valued at
Format of the mid-semester exam
Econ 6002
Time: 2 hours (plus 10 minutes of reading time), in class, during class time.
Non-programmable calculators are allowed
Material: Week 1-Week 5, 3 online tutorials and 1 problem set
General guideline:
In answering
ECMT2150 INTERMEDIATE ECONOMETRICS
SEMESTER 1, 2017
Week 5 Tutorial Properties of OLS and Inference
1. (Wooldridge 2016 Question 4.1) Which of the following can cause the usual OLS t statistics
to be invalid (that is, to not have t distributions under H0)
ECMT2150 INTERMEDIATE ECONOMETRICS
SEMESTER 1, 2017
Week 5 Tutorial Answers Properties of OLS and Inference
1. (Wooldridge 2016 Question 4.1)
(a) and (b) generally cause the t statistics not to have a t distribution under H0.
Homoskedasticity is one of
ECMT2150 INTERMEDIATE ECONOMETRICS SEMESTER 1, 2017
Week 4 Tutorial Answers
Probability review, Properties of OLS
1. The following table gives the joint probability density function P(X = x,Y = y) = f (x, y)
of two random variables X and Y :
Y
X
1
0
2
10
ECMT2150 INTERMEDIATE ECONOMETRICS
SEMESTER 1, 2017
Week 6 Tutorial Misspecification, OVB, Dummy variabes
1.
Woolridge 2016 Question 3.8
Suppose that average worker productivity at manufacturing firms (aveprod) depends on
two factors, average hours of tra
FINC2011 - Questions - Tutorial 4 (BMA Ch. 2 & 3)
Chapter 2
31. Amortizing loansA mortgage requires you to pay $70,000 at the end of each of
the next eight years. The interest rate is 8%.
a. What is the present value of these payments?
b. Calculate for ea
ECMT2150 INTERMEDIATE ECONOMETRICS SEMESTER 1, 2017
Week 4 Tutorial
Probability review, Properties of OLS
1. The following table gives the joint probability density function P(X = x,Y = y) = f (x, y)
of two random variables X and Y :
Y
0
X
1
2
10 0.05 0.3
The Solow Model
ECON 6002
Aarti Singh
Lecture Slides 2
Suggested readings I
I
CJ (Jones and Vollrath) 2
I
DR 1.21.7
2 / 57
Outline
Centralized allocations
Technology and production
Resource constraint and the law of motion of capital and labor
The dynamic
The Evolution of Macroeconomics: Phase I The Evolution of Macroeconomics: Phase II The Evolution of Macroeconomics: Between
A brief (and partial) history of
macroeconomics
The Evolution of Macroeconomics: Phase I The Evolution of Macroeconomics: Phase II