NOTE: I will travel a lot in the fall (so far I know that I am out the 2nd and 3rd week of class). The class is scheduled for 10-11.30 Mo-We but some days we will start in advance. We will like also have some ad hoc make-up classes, in particular the last week of teaching for student presentations.
Presentations: Wided will give the first presentation 10/21, on Search (LS Chapter 6), please look at this in advance.
On Nov 2, we will have a double feature with Ebru and Gokcen. (I expect we will have normal 10-11.30 hours the
rest of the semester).
Scheduling: Classes to be rescheduled so far 8/31, 9/2, 9/9, 9/28, 9/30, 10/26, 10/28.
Make-up: 8/24 3.30-5.00, 8/26 9am-10am (start early), 9/16 start 9am, 9/21 start 9am,
10/7 start 9am, 10/12 start 9am (and stop 10.45 or so). 10/19 (midterm) 9.30am-11am.
A midterm and 3 homeworks followed by in-depth student presentations (a full class each, which in practice means that I do half the talking to help make things understandable to the rest of the class).
(I insist on 3-4
homeworks and midterm because my experience is that too many people do not not study properly without these proddings.)
Topics covered (I will start with the first one which is just one lecture to get you to think about the role of empirical work).
1) Introduction (empirical methods in macro,)
2) GMM (how to do, applied perspecitive---I will not prove any econometrics results)
3) VAR (focus on interpretions of structural VARs and applications in macro)
4) Introduction to dynamic programming (Sargent and Ljungquist)
5) A Midterm
6) Student presentations after midterm – I prefer that students choose a chapter from Sargent-Ljungquist (large chapter can be 2 students) because this is an influential text written in a different style than most students are used to so it is good if we get exposed as much as possible to this. If you see some article that really interest you, we can cover that too, but I want it to be something very recent (preferable still a working paper).
Midterm date is October 19 at 9.30.
Some papers on IV-estimation that you may want to consult (if you do IV, you SHOULD read):
The data are in GAUSS format and you should
Download to the PC and unzip. You will need to change the paths for loading and the outfile.
Homework 1: Read the article The
Scientific Illusion in Empirical Macroeconomics by
Lawrence H. Summers,