### Course Meeting Times

Lectures: 2 sessions / week, 1.5 hours / session

Recitations: 1 session / week, 1.5 hours / session

### Course Requirements

Problem sets are an integral part of the course. You are encouraged to work on the problem sets in groups but you must turn in your own individual work. You have one week to turn in each problem set. TA sessions will be devoted to the solution of the previous week’s problem set and some extra material not covered in the lectures.

### Grading

The final grade will be a weighted average of the problems sets and the final exam. The final exam will be during the time of our last scheduled class.

ACTIVITIES | PERCENTAGES |
---|---|

Problem Sets | 30% |

Final Exam | 70% |

### Calendar

LEC # | TOPICS | KEY DATES |
---|---|---|

1 | Intertemporal Preferences and Welfare Costs of Uncertainty | Problem set 1 out |

2-4 | Complete Markets and Pareto Optima |
Problem set 1 due in Lec #3 Problem set 2 out in Lec #3 |

5-6 | Asset Pricing: Arbitrage and CCAPM | Problem set 2 due in Lec #5 |

7-9 | Precautionary Savings / Income Fluctuations Problem |
Problem set 3 out in Lec #7 Problem set 3 due in Lec #9 |

10 | Empirical Evidence, Tests and Quantitative Models | |

11 |
Empirical Evidence, Tests and Quantitative Models (cont.) Imperfect Insurance with Frictions |
Problem set 4 out |

12 | Imperfect Insurance with Frictions (cont.) | |

13 | Investment with Convex Adjustment Costs / Q-Theory | Problem set 4 due |

14 | Irreversibility, Fixed-Costs and (S, s) Rules |