Macro 3

Topics:

• Income Fluctuations Problem
• Bewley-Huggett-Aiyagari model
  • ​Notes on Bounded Assets - [PDF]
  • ​Endogenous Grid Method of Computation - [PDF]
• Endogenous Market Incompleteness
  • Dynamic Contracting with Limited Enforcement
  • Dynamic Contracting with Asymmetric Information
• Models of innovation and R&D

Notes from the Lectures

• Income Fluctuations Problem - [PDF]
• Endogenous Incomplete Market - [PDF]

Problem Set - [PDF] ; Due May 12th