Economics Dept., University of Manitoba

Economics 18.751 Advanced Monetary Macroeconomics, Fall 2004

Instructor: N. E. Cameron
Contact Info:  Office: 235 St. John's College. Phone: 474-8114. Fax: 474-7619
Email: cameron@ms.umanitoba.ca  

Website for the course: www.umanitoba.ca/faculties/arts/economics/cameron/751
Office hours: MW 1.30 to 2.30, but I am generally available in my office (or nearby in Room 239) other than during or just before this class, so don’t feel restricted to the posted hours.

 Objectives: This course is the second half of the sequence of 750 and 751 that make up advanced monetary economics.  For the most part, monetary economics is a complement to modern macroeconomics, fleshing out and providing microeconomic underpinnings for some propositions about macrofinancial arrangements (such as a payment system) that are just asserted or glossed over in the more aggregated macro models.  Some of the fleshing out has to do with the special role of money and money-like assets in a modern economy, some of it has to do with the detailed structure and functioning of financial markets.  We will see examples of each.  750 concentrates mainly on the microeconomics of monetary arrangements.  751 concentrates on more applied issues of how financial structure affects and is affected by the conduct of stabilization policy.  This course should leave you familiar with the main approaches used to address financial structure and monetary policy, and able to apply those approaches to relevant situations in problems and a final exam.

Course responsibilities and evaluation: You will be responsible for
(a) three assignments (20 %)
(b) a term paper, to be handed in by November 30 (20 %)
(c) a 3-hour final examination (50 %)
(d) two class presentations of parts of the course material (10%)
Early drafts of the term paper that are well organized and legible will get comments and suggestions before final submission (just like most journal articles).

Term paper: I expect that your term paper will be an empirical exercise extending one of the many empirical applications in the reading list, but feel free to suggest other topics if you wish.  Just get my approval beforehand.  “Extending” can mean replicating with more recent data, or data from a country not yet included in the empirical research, or using different research methods or different econometric specifications.  These amount to tests for robustness, which is always a useful exercise.