105.687 AKVWL Dynamic Macroeconomic Modelling
This course is in all assigned curricula part of the STEOP.
This course is in at least 1 assigned curriculum part of the STEOP.

2019S, VU, 2.0h, 3.0EC
TUWEL

Properties

  • Semester hours: 2.0
  • Credits: 3.0
  • Type: VU Lecture and Exercise

Aim of course

The aim is to provide students with the tools necessary to independently solve macroeconomic models using numerical software.

Students that successfully passed this course can:

  • numerically solve a wide range of determistic and stochastic macroeconomic models (DSGE)
  • calibrate a model to empirical data
  • quantify the effects of fiscal policy and interpret them economically
  • write a master thesis in the field of macroeconomics

Subject of course

Part I: The deterministic neoclassical growth model

  • Model description and definition of equilibrium
  • Solution methods: Euler equation, Lagrangian approach, Dynamic Programming
  • Difference equations: solution and dynamics of linear DE, linearization and local dynamics of nonlinear DE
  • Computational implementation: calibration, solution by forward shooting and backward integration
  • Project: Fiscal policy in the deterministic neoclassical growth model

Part II: The stochastic neoclassical growth model

  • Model description and solution methods
  • Stochastic difference equations: Impulse Response Functions, linearization and certainty equivalence
  • Computation implementation: solving DSGE models with Dynare
  • Project: Policy analysis in a DSGE model using Dynare

Additional information

The course is split into two parts. Each part consists of several classroom sessions followed by a project that must be worked out independently.

For further information see http://www.econ.tuwien.ac.at/mkerndler/downloads/dynmod_syllabus_ss2019.pdf

Lecturers

Institute

Course dates

DayTimeDateLocationDescription
Mon13:00 - 14:0004.03.2019Sem.R. DB gelb 04 Initial Meeting
Mon12:00 - 14:0011.03.2019 - 24.06.2019Sem.R. DB gelb 04 Lectures
AKVWL Dynamic Macroeconomic Modelling - Single appointments
DayDateTimeLocationDescription
Mon04.03.201913:00 - 14:00Sem.R. DB gelb 04 Initial Meeting
Mon11.03.201912:00 - 14:00Sem.R. DB gelb 04 Lectures
Mon18.03.201912:00 - 14:00Sem.R. DB gelb 04 Lectures
Mon25.03.201912:00 - 14:00Sem.R. DB gelb 04 Lectures
Mon01.04.201912:00 - 14:00Sem.R. DB gelb 04 Lectures
Mon08.04.201912:00 - 14:00Sem.R. DB gelb 04 Lectures
Mon29.04.201912:00 - 14:00Sem.R. DB gelb 04 Lectures
Mon06.05.201912:00 - 14:00Sem.R. DB gelb 04 Lectures
Mon13.05.201912:00 - 14:00Sem.R. DB gelb 04 Lectures
Mon20.05.201912:00 - 14:00Sem.R. DB gelb 04 Lectures
Mon27.05.201912:00 - 14:00Sem.R. DB gelb 04 Lectures
Mon03.06.201912:00 - 14:00Sem.R. DB gelb 04 Lectures
Mon17.06.201912:00 - 14:00Sem.R. DB gelb 04 Lectures
Mon24.06.201912:00 - 14:00Sem.R. DB gelb 04 Lectures

Examination modalities

Grading is based on two projects, which have to be worked out independently during the semester.

Course registration

Begin End Deregistration end
17.01.2019 14:00 11.03.2019 14:00 28.04.2019 23:59

Curricula

Literature

No lecture notes are available.

Previous knowledge

Prior knowledge of dynamic economic models (in particular the Ramsey growth model) is advantageous but not necessary. The computational implementation of the projects should be done in MATLAB. Students who have never worked with MATLAB before or have not used it for a while, are expected to go though an introductory guide before (a reference is provided in the detailed syllabus on the course webpage).

Miscellaneous

Language

English