Development Economics: Macroeconomics

This course emphasizes dynamic models of growth and development. Topics covered include: migration, modernization, and technological change; static and dynamic models of political economy; the dynamics of income distribution and institutional change; firm structure in developing countries; development, transparency, and functioning of financial markets; privatization; and banks and credit market institutions in emerging markets. At MIT, this course was team taught by Prof. Robert Townsend, who taught for the first half of the semester, and Prof. Abhijit Banerjee, who taught during the second half. On OCW we are only including materials associated with sessions one through 13, which comprise the first half of the class.

1. Finance, Growth, and Volatility.
2. Micro-Founded Macro Models.
3. Growth, TFP, and Inequality.
4. Growth, TFP, Domestic and International Capital Flows.
5. Measurement in Development.
6. Insurance.
7. Capital Asset Pricing.
8. Macro Approaches to Consumption Smoothing and Risk Sharing.
9. Labor and Development.
10. Dynamic Financial Constraints.
11. Evaluation of a Large Scale Microfinance Experiment.
12. From Reduced Form to Structural Evaluation.