John Stiver

Room 3.61

Phone: (203) 251-8433

Fax: (203) 251-8592

Email: jstiver@stamford.stam.uconn.edu

Web: www.sp.uconn.edu/~jstiver

Office Hours: Tuesday, Thursday: 2:30 – 4:30, or by Appt.

Reading:

• Abel, Andrew and Ben Bernanke, Macroeconomics 4^th Ed, Addison, Wesley, 2001

• Blanchard, Olivier, Macroeconomics, Prentice Hall, 1997
• Hall, Robert and John Taylor, Macroeconomics 5^th Ed., W.W Norton &Co.,1997
• Gordon, Robert, Macroeconomics 8^th Ed., Addison-Wesley2000, 1997
• Landsburg, Steven and Lauren Feinstone, Macroeconomics, McGraw Hill, 1997
• Mankiw, N. Gregory, Macroeconomics 3^rd Ed., Worth Publishers, 1997.

Grading: there will be two midterms given during the semester, a  final given during finals week, problem sets (approximately once a week), and a final paper. To determine your grade, you have two options:

Homework: 20%

Midterms (2) = 40%

Final = 20%

Paper = 20%

Academic Misconduct: Academic misconduct in any form is in violation of the University Student Conduct Code and will not be tolerated. This includes, but is not limited to, copying or sharing answers on tests or assignments, plagiarism,, and having someone else do your academic work. Depending on the act, a student could receive an F grade on the test/assignment, F grade for the course, or could be suspended or expelled.

• Abel/Bernanke, Chapter 1
• Lucas, Robert E. , "Methods and Problems in Business Cycle Theory", Journal of Money, Credit and Banking, 12, November 1980, 696-715
• Lucas, Robert E., "Understanding Business Cycles", in Carnegie-Rochester Series on Public Policy, 1977, 7-29.
• Lucas, Robert E., "Econometric Policy Evaluation: A critique", in Carnegie-Rochester Series on Public Policy, 1:19-46.

• Abel/Bernanke, Chapters 2, 8
• Kydland, Finn and Edward Prescott, "Business Cycles: Real Facts and a Monetary Myth", Carnegie-Rochester Series on Public Policy
• King, Robert and Charles Plosser, "Real Business Cycles and the Test of The Adelmans", mimeo, University of Rochester, 1989
• King, Robert, and Sergio Rebelo, "Low Frequency Filtering and Real Business Cycles", Journal of Economic Dynamics and Control, 17, 207-231

• Abel/Bernanke, Chapter 3
• Hansen, Gary (1985), Indivisible Labor and The Business Cycle, Journal of Monetary Economics, 16: 309-327.
• Burnside, Craig , Martin Eichenbaum and Sergio Rebelo,(1992) "Labor Hoarding and the Business Cycle", Journal of Political Economy
• Lilien, David (1982), "Sectoral Shifts and Cyclical Unemployment", Journal of Political Economy, 777-792
• Lucas, Robert and Edward Prescott (1974), "Equilibrium search and Unemployment", Journal of Economic Theory, 7: 188-209.

• Abel/Bernanke, Chapter 4
• Attanasio, O., and G. Weber, "Consumption Growth and Sensitivity to Income: Evidence from U.S. Micro Data" mimeo, 1993.
• Campbell, John, and Angus Deaton, "Why is Consumption so Smooth?", Review of Economic Studies, 56, 1989, 357-374
• Gali, Jordi, "Finite Horizons, Life Cycle Savings, and Time Series Evidence on Consumption", Journal of Monetary Economics 26, 1990, 433-452.
• Hall, Robert, "Consumption" in Robert Barro (Ed), Modern Businesss Cycle Theory, Harvard University Press, 1989.
• Abel, Andrew (1983), "Optimal Investment Under Uncertainty", American Economic Review, 73: 228-233.
• Modigliani, Franco and Merton Miller (1958), "The Cost of Capital, Corporate and the Theory of Investment", American Economic Review, 48:261-97

• Abel/Bernanke Chapter 7
• Baumol, William (1952), "The Transactions Demand For Cash", Quarterly Journal of Economics, 67: 545-556.
• Cooley, Thomas and Gary Hansen, "Money and The Business Cycle", in Thomas Cooley (ed.), Frontiers of Business Cycle Research, Princeton University Press
• King, Robert and Charles Plosser, "Money and Credit in a Real Business Cycle Model", American Economic Review, 74: 363-380, 1984
• Stockman, Alan, "Anticipated Inflation and the Capital Stock in a Cash in Advance Economy", Journal of Monetary Economics, 8: 387-393, 1981.
• Grossman, Sanford and Laurence Weiss (1983), "A Transactions Based Model of the Monetary Transmission Mechanism", American Economic Review, 73: 8710880.

• Abel/Bernanke, Chapters 9,10
• Cooley, Thomas and Edward Prescott, "Economic Growth and Business Cycles", in Thomas Cooley (ed.), Frontiers of Business Cycle Research
• Long, John and Charles Plosser, "Real Business Cycles", Journal of Political Economy, 91, 1345-1370.
• King, Robert, Charles Plosser and Sergio Rebelo, "Production, growth, and Business Cycles", Journal of Monetary Economics, 21-195-231.
• Plosser, Charles, "Understanding Real Business Cycles", Journal of Economic Perspectives, 3:51-78.

• Abel/Bernanke, Chapter 11, 12
• Mankiw, Gregory, "Real Business Cycles: A New Keynsian Perspective", Journal of Economic Perspectives, 3: 79-90, 1989.

• Abel/Bernanke, Chapter 15
• Barro, Robert, :"The Neoclassical Approach to Fiscal Policy", in Robert Barro (ed.), Modern Business Cycle Theory, Harvard University Press, 1989.
• Barro, Robert, "Are Government Bonds Net Wealth?", Journal of Political Economy, 82, 1095-1117.
• Baxter, Marianne and Robert King, "Fiscal Policy in General Equilibrium", American Economic Review, 83, 315-334, 1993
• Blanchard, Olivier, "Debt, Deficits, and Finite Horizons", Journal of Political Economy, 93, 223-247.
• Braun, Anton and Ellen McGratten, "The Macroeconomics of War and Peace", NBER Macroeconomics Annual, 1993.

• Abel/Bernanke, Chapters 14
• Friedman, Milton (1969), The Optimum Quantity of Money and Other Essays, Chicago: Aldine
• Friedman, Milton (1968), "The Role of Monetary Policy", American Economic Review, 58: 1-17.
• Kydland, Finn and Edward Prescott (1977), "Rules Rather than Discretion: The Inconsistency of Optimal Plans", Journal of Political Economy
• Fischer, Stanley (1986), "Monetary Rules and Commodity Schemes Under Uncertainty", Journal of Monetary Economics, 17: 21-35.

• Abel/Bernanke, Chapter 6
• Barro, Robert, "Economic Growth in a Cross Section of Countries", Quarterly Journal of Economics, 106, 407-444
• Barro, Robert, "Government Spending in a Simple Model of Economic Growth", Journal of Political Economy, 98, S103-125, 1990
• Barro, Robert and Sala-I-Martin, "Convergence", Journal of Political Economy, 100, 223-51.
• Rebelo, Sergio, "Long Run Policy Analysis and Long Run Growth", Journal of Political Economy, 99, 500-521.
• Solow, Robert, "Technical Change and the Aggregate Production Function", Review of Economic Studies, 39, 312-320.
• Becker, Gary, Kevin Murphy and Robert Tamura, "Human Capital, Fertility, and Economic Growth", Journal of Political Economy, 98, 12-37, 1990.

• Abel/Bernanke, Chapter 5, 13
• Backus, David, Patrick Kehoe and Finn Kydland, "International Real Business Cycles", Journal of Political Economy, 100, 745-75, 1992.
• Baxter, Marianne, "International Trade and Business Cycles", in Gene Grossman and Kenneth Rogoff eds., Handbook of International Economics vol. III, Elsevier Science, 1995.
• Mendoza, Enrique, "Business Cycles in a Small Open Economy", American Economic Review, 81:4, 1991.
• Stockman, Alan and Linda Tesar, "Tastes and Technology in a Two Country Model of The Business Cycle: Explaining International Co-movements", American Economic Review, 85:1, 1995.