Course overview
This course introduces students to the core tools and themes of open-economy business-cycle theory. The objectives of the course are to enable students to: i) critically evaluate the relevant models and empirical works in open-economy macroeconomics, and ii) apply these analytical tools themselves to investigate topical issues in international macroeconomics.
Course learning outcomes
- Compute, describe and interpret business-cycle stylized facts around the world.
- Build and solve analytically simple theoretical equilibrium models of the current account.
- Build and solve numerically more complex Dynamic Stochastic General Equilibrium (DSGE) models of Small-Open Economies.
- Specify, estimate and identify empirical time series models (Structural Vector Auto-Regressions).
- Use the SVAR models as an empirical benchmark to evaluate theoretical (DSGE) models.
- Apply DSGE and SVAR models to a range of topical and policy relevant issues in open economy macroeconomics.