In case of conflicting information consider the Sisu/Courses/Moodle pages the primary source of information.

The course builds upon the models studied in the Advanced Macroeconomics 1 course, further introducing uncertainty, capital market incompleteness and general equilibrium stochasticity. As another application of recursive and stochastic macroeconomic models, it introduces search and matching theory for the analysis of labour market issues.

  • Completion method: contact teaching
    • Streaming will be only available to the FDPE students, for more infromation please contact Jenni Rytkonen, jenni.rytkonen [at] aalto.fi
  • Schedule: can be found in Course Page and Sisu
  • Study materials: can be found in Moodle
    • Tips for enrolling in a Moodle course area can be found here

Please register for the course in the UH Sisu with your UH username, further instructions can be found here.

    • Code: ECON-L3200
    • Target groups: PhD / rMSc / MSc
    • Credit points: 5
    • Credit transfer: apply for substitution in Sisu
    • Code: 26050
    • Target groups: PhD / rMSc / MSc
    • Credit points: 5
    • Credit transfer: apply for substitution in Sisu
    • Code: COM-R313

    • Target groups: PhD / rMSc

    • Credit points: 5

    • Target groups: PhD
    • Credit points: please check your curriculum
    • Credit transfer: please apply for credit transfer according to your home university's procedures

After the course, the student should:

  • Understand and be able to solve macroeconomic models with incomplete markets (in particular, the concepts of idiosyncratic uncertainty, borrowing constraint, and stationarity issues as covered in partial and general equilibrium setups) 
  • Understand the search and matching theory applied to macroeconomic models of the labour market (in particular, concepts such as labour market tightness and reservation wages as determinants of the unemployment rate)