The purpose of this PhD-level course is to present the detailed mathematical explanations underlying the New Keynesian Dynamic Stochastic General Equilibrium (DSGE) models’ derivation. I present the theory and deep calculus analysis of each equation of New Keynesian DSGE models, empirical results of several papers on this topic, and allow for PhD students in Economics to sketch a research idea that can be developed more fully in subsequent terms. Mini-course taught at Bar Ilan University (2018) and ESSEC Business School (2012).
– Secondary household maximisation problem.
– The Smets and Wouters (2007) model.