Minicourse Macro and Micro, by Per Krussel and Kurt Mittman, October 24 – November 8th 2018 Swedish House of Finance
Micro to Macro Minicourse
Per Krusell & Kurt Mitman
Contacts: firstname.lastname@example.org, email@example.com
Location: ”Fama” Room at SHoF
- Oct 24 & 25 14.30-17.00
- Oct 31 14.30-17.00, Nov 1 9.00-11.30
- Nov 7 & 8 9.00-11.30
Aim of the course: Go over models and empirical analysis of macroeconomics and inequality.
Course plan: Here is a rough outline for the six lectures of the course:
- Introduction, covering a key method: recursive competitive equilibrium. Different macroeconomic
household structures: OG vs. dynastic vs. in-between, heterogeneity in one or
- Wealth inequality: models with complete markets, and a discussion of facts surrounding
the distribution of wealth, income and consumption.
- Models with (exogenously) incomplete markets: equilibrium determination of wealth inequality.
Discussion of models with endogenous default. Short discussion of frictions in
the labor markets.
- Aggregate uncertainty. Models and questions: Ricardian equivalence, the welfare costs of
business cycles, asset pricing, portfolio choice, aggregate labor supply, and other applications.
- Heterogeneity and macroeconomic policy: implications of heterogeneity for the transmission
and efficacy of monetary and fiscal policy.
- Computation of incomplete markets models: steady states, MIT shocks and aggregate