Macroeconomic Dynamics Methods (Second Edition)

Author: Wang Genbei
Publisher:
Publish Date: 2002-10-19
Features: This book is composed of five parts, and I firmly believe that the content reflects the representative and important analytical methods of this discipline. The first part summarizes what I consider to be the traditional macrodynamics. This part essentially represents the essence of the content I published in the book "Macroeconomic Analysis and Stabilization Policy" at the University of Cambridge in 1977. It serves as the background content of this book, but in fact, these refined contents perfectly illustrate the many changes that macroeconomic dynamics have undergone over the past quarter-century. The second part extensively discusses the development of rational expectation models, which dominated American literature in the mid-1970s and mid-1980s. The third part thoroughly develops the modern analytical methods of macroeconomic dynamics based on intertemporal optimization. In the fourth part, these methods are applied to analyze modern growth models. The fifth part, also the final one, develops continuous-time stochastic growth models. These models have been widely used by financial theorists, but macroeconomists who employ this method are relatively few. I believe these models provide valuable insights for macroeconomic policy-making under conditions of risk and uncertainty, and I have maintained a deep interest in them for many years.