ECON4310 – Macroeconomic Theory
Schedule, syllabus and examination date
The focus in this course is on how economic aggregates evolve over time and on how this evolution is shaped by economic agents who are taking account of how their present decisions will affect their own future. Among the topics are:
- Saving and investment decisions.
- Capital accumulation and the determination of real interest rates.
- Capital asset pricing when returns are risky.
- Long-run consequences of fiscal policy and government debt.
- Public pension systems.
- The nature and causes of business cycles.
- Determinants of unemployment.
The course covers a range of models that are among the most widely used tools in macroeconomic thinking. It is meant as an introduction to macro theory at the masters’ level and provides a useful background for the other macro courses.
You should know
- the basic neoclassical growth model (Solow-type)
- overlapping generation models (Diamond-type)
- dynastic models (infinite horizon models Ramsey-type)
- consumption capital-asset pricing models
- real business cycle models
- traditional Keynesian models of fluctuations
- the modern theories of saving and investment behavior, of government deficits and debt, of unemployment and of the debate about the causes of business-cycles
You should be able to
- solve simple dynamic optimization problems both with and without uncertainty
- use intertemporal equilibrium models to discuss qualitatively the effects over time of exogenous shocks to the economy
- discuss the long run effects of fiscal policies as well as their effects on the business cycle
- be able to read and understand project reports and journal articles that make use of the concepts and methods that are introduced in the course
- be able to make use of the course content in your own academic work, for example in analyses that are part of the master’s thesis
Students who are admitted to study programmes at UiO must each semester register which courses and exams they wish to sign up for in Studentweb.
If you are not already enrolled as a student at UiO, please see our information about admission requirements and procedures.
Apply for guest student status if you are admitted to another Master's programme, or have completed a master in Economics at UiO or another Norwegian University.
You can not attend this course if you have already passed specific ECON-courses at a higher level.
Formal prerequisite knowledge
- Bachelor's degree in Economics, or equivalent.
- Students on the master’s programme in Economic Theory and Econometrics (the 5-year programme) need ECON3010 – Anvendt økonomisk analyse.
Recommended previous knowledge
- Good background i microeconomics and mathematics. It is recommended to take the course either in parallel with or after ECON4200 – Microeconomics and Game Theory, and ECON4120 – Mathematics 2: Calculus and Linear Algebra
10 credits overlap with SØK/ECON411 Macroeconomics advanced
Lectures: 4 hours per week in the first half of the semester, 2 hours per week in the second half.
Seminars: 2 hours per week through the second half of the semester.
Compulsory tuition activities:
- A compulsory term paper.
If the compulsory term paper is not approved, you may be given a second attempt to hand in a new term paper/improve the term paper within a short deadline.
When the compulsory term paper is approved, the result will be registered. The term paper will be valid for 8 consecutive semesters.
Candidates who have passed the course before autumn 2016 and wish to re-take the exam need to get the term paper approved before they can re-take the exam.
Absence from compulsory tuition activities
If you are ill or have another valid reason for being absent from compulsory tuition activities, your absence may be approved or the compulsory activity may be postponed.
A 3-hour written school exam.
You must have passed the mandatory activities in order to sit for the exam.
The written examination is conducted in the digital examination system Inspera. You will need to familiarize yourself with the digital examination arrangements in Inspera.
Examination support material
Students may use dictionaries at this exam. Dictionaries must be handed in before the examination. Please read regulations for dictionaries permitted at the examination.
Language of examination
The examination text is given in English.You may submit your response in Norwegian, Swedish, Danish or English.
Grades are awarded on a scale from A to F, where A is the best grade and F is a fail. Read more about the grading system.
Explanations and appeals
It is recommended to request an explanation of your grade before you decide to appeal.
The deadline to request an explanation is one week after the grade is published. For oral and practical examinations, the deadline is immediately after you have received your grade.
The explanation should normally be given within two weeks after you have asked for it. The examiner decides whether the explanation is to be given in writing or verbally.
Ask for an explanation about the grade for postponed exam in this course.
Resit an examination
If you are sick or have another valid reason for not attending the regular exam, we offer a postponed exam later in the same semester.
There are restrictions on resitting this exam. See further information about resitting an exam.
Withdrawal from an examination
It is possible to take the exam up to 3 times. If you withdraw from the exam after the deadline or during the exam, this will be counted as an examination attempt.
Special examination arrangements
Application form, deadline and requirements for special examination arrangements.
The course is subject to continuous evaluation. At regular intervals we also ask students to participate in a more comprehensive evaluation.