Prof. Guido Lorenzoni
Prof. Veronica Guerrieri
This course covers three sets of topics. The first part will cover business cycle models with imperfect information. We will ask questions such as:
The second part will cover models of investment with credit constraints. We will ask questions such as:
The third part will cover search models of decentralized trade applied both to labor markets and to financial markets. In particular, the models will have informational imperfections.