This course teaches the foundation of economic growth as an advanced topic of macroeconomics. The basic knowledge covered in "IEE.B402 : Advanced Macroeconomics" will be required. This course uses various data on macroeconomics to explain important facts on economic growth such as cross-country income difference and industrial structural transformation. Several theories of economic growth are dealt with to improve understandings of empirical facts.
This course has two aims. The first is to teach knowledge about data and important facts on economic growth. The second is to teach the theories of economic growth that explain facts on economic growth.
By the end of this course, students will
1) Aquire knowledge about data on economic growth.
2) Aquire knowledge about theories of economic growth.
3) Understand relationship between data and theories of economic growth.
Economic Growth, Cross-Country Income Difference, Technological Progress
✔ Specialist skills | Intercultural skills | Communication skills | Critical thinking skills | Practical and/or problem-solving skills |
This course uses slides to explain the basic knowledge. Complicated calculations and proofs of theorems are expained in detail using blackboard.
Course schedule | Required learning | |
---|---|---|
Class 1 | Introduction, -Data on Economic Growth | Understand data on economic growth. |
Class 2 | Facts on Economic Growth | Explain important facts on economic growth. |
Class 3 | Uzawa's Theorem (1) | Explain the conditions for balanced growth. |
Class 4 | Uzawa's Theorem (2) | Explain the conditions for balanced growth. |
Class 5 | Growth Accounting | Explain growth accounting. |
Class 6 | Income Inequality | Do a simply calibration exercise. |
Class 7 | Empirical Studies on Cross-Country Income Difference | Learn empirical studies on cross-country income difference. Explain empirical studies on fundamental cause of cross-country income difference. |
Class 8 | Technological Progress (1) - Introduction | Explain the basic structure of a technological progress model. |
Class 9 | Technological Progress (2) - Household and Firms | Explain household and firm behavior. |
Class 10 | Technological Progress (4) - R&D sector | Explain R&D sector. |
Class 11 | Technological Progress (5) - Equilibrium Dynamics | Explain equilibrium dynamics. |
Class 12 | Technological Progress (6) - Optimal Allocation | Derive the optimal allocation. |
Class 13 | Technological Progress (7) - Optimal Policy | Derive the optimal policy. |
Class 14 | Summary | Summary |
To enhance effective learning, students are encouraged to spend approximately 100 minutes preparing for class and another 100 minutes reviewing class content afterwards (including assignments) for each class.
They should do so by referring to textbooks and other course material.
Acemoglu, Introduction to Modern Economic Growth 2009
All materials used in class can be found on OCW-i.
Homework assignments on data: 50%
Final exam: 50%
The basic knowledge covered in "IEE.B402 : Advanced Macroeconomics" will be required.