1. Monetary Economics Leo Ferraris
Office: 40, 2nd floor; office hour: by appointment
University of Rome, Tor Vergata
November/December 2016

2. The Course Introduction to theory of money: store of value
medium of exchange
Three models:
Models with Spatial Separation (T)
Overlapping Generations (OLG)
Search Model (Kiyotaki-Wright)

3. Material
Champ, B. & S. Freeman (2001), Modeling Monetary Economics, CUP (CF)
Townsend, R. (1980), Models of Money with Spatially Separated Agents, in Models of Monetary Economies, OUP (T)
Wallace, N. (1997), Absence of Double Coincidence Models of Money, MinnFed (W)
Lagos, R. & R. Wright (2005), A Unified Framework for Monetary Theory and Policy, JPE (LW)

4. Lectures 12 lectures, 3 h; first meeting 7th November
Monday 10am-1pm; Friday 2-5pm
Room P10

5. Road Map
The following list of topics is suggestive and may be modified during the course
Lecture 1, November 7: Introduction to the Course; Background
Lecture 2, November 11: Models with Spatial Separation (T)
Lecture 3, November 14: OLG Model (Ch.1 CF); Inflation (Ch. 3)
Lecture 4, November 18: Homework 1, Capital (Ch. 6); Intermediation (Ch.7)
Lecture 5, November 21: Central Bank (Ch.8); Money Fluctuations (Ch. 9)
Lecture 6, November 25: Homework 2; Bank Runs (Ch. 12)
Lecture 7, November 28: Search Model, Basics (W)
Lecture 8, December 2: Homework 3; Search Model, Advances (LW)
Lecture 9, December 5: Midterm
Lecture10, December 9: Midterm Solutions, Search Model, Exercises
Lecture 11, December 12: Presentations
Lecture 12, December 16: Presentations

6. Grades 3 homeworks, 1 midterm, 1 presentation, 1 final exam
Homeworks: assigned a week in advance; to be handed-in at the beginning of lecture
Midterm: December 5
Each homework worth 10% of final grade; Midterm 20%; Presentation 20%; Final exam 30%.