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This book offers a comprehensive introduction to advanced macroeconomic theory, designed specifically to bridge the gap between intermediate undergraduate courses and graduate-level study. It provides master's and advanced undergraduate students with analytical tools and theoretical frameworks for understanding modern macroeconomic modeling.The exposition begins with consumption and production theory in static and dynamic settings, establishing the microeconomic foundations for rigorous macroeconomic analysis. The book then examines key mechanisms driving macroeconomic fluctuations, covering labor market frictions through search and matching models and efficiency wage theory, the role of money through the cash-in-advance model, and investment dynamics with adjustment costs.Considerable attention is devoted to growth theory and macroeconomic dynamics. The presentation moves from the Solow model through various endogenous growth frameworks, including models emphasizing physical and human capital accumulation. The Ramsey-Cass-Koopmans model and the overlapping generations framework are developed in detail, with particular emphasis on dynamic efficiency and welfare analysis across generations. The book concludes with an introduction to real business cycle theory, presenting the basic model structure and analyzing responses to economic shocks.Throughout, the book emphasizes intuition alongside formal analysis. Derivations are presented carefully, and detailed exercises help students develop both technical skills and economic understanding. These notes are intended for students seeking stronger preparation for doctoral study or a deeper understanding of macroeconomic theory for policy analysis and research applications.
