ADVANCED MACROECONOMICS
Fall 2015

Errata to lecture notes
(continually updated)
 

15/9-2015    
Ch. 6, p. 205, middle:    "In focus. The aspects"    should read    "The aspects".
    -   , p. 208, middle:     "expence"    should read    "expense" (the typo appears several places).
    -      -        , line 1 from below:    "(6.3)"    should read    "(6.2)".
    -    , p. 209, middle:    "(1 - gY )^1"    should read    "(1 + gY )^1".
    -    , p. 219, line 1 from below:    "Let us therefore"    should read    "Ignoring for simplicity transfers, we therefore".
    -    , p. 238, line 7 from below:    " 'structural' budget "    should read    " 'true structural budget' ".

24/9
Ch. 6, p. 220, line 3:    "it can not"    should read    "the tax revenue aimed at can not".
    -   , p. 222, line 12:    "because lending is difficult"    should read    "because borrowing is difficult".
    -   , p. 238, line 9 from below:    "(13.68)"    should read    "(6.25)".
    -        -      , line 7 from below:    "(13.67)"    should read    "(6.24)".
    -        -      , line 2 from below:    "(13.69)"    should read    "(6.26)".         

28/9
Ch. 7, p. 272, line 4 from below:    "(??)"    should read    "(7.22)".

29/9
Ch. 12, p. 475, eq. (12.3):    "N(t,t-j)"    should read    "N(t-j,t)".
    -     , p. 482, line 10:    Delete the first "=" in the line.   
6/10
Ch. 12, p. 487, second line below (12.28):    "(t_0, v) = (0, v)"    should read    "(v, t_0) = (v, 0)".

10/10
Ch. 9, p. 364:    Replace line 13-16 by "only if their net debt does not exceed the present value of future primary saving. Denoting by d_o net debt at time 0, i.e., d_o ≡ - a_o, the solvency requirement as seen from time 0 is".

3/11
Ch. 15, p. 631, line 4-3 from below:    Delete    "and one using these goods to set up new houses".
     -      p. 633, line 20-21:    Replace "fluctuations in house prices and in construction activity" by "Think of". Continue this truncated sentence by moving "errors and mistakes ... communication resources", from line 15-16, down to this place.

5/11
Ch. 15, p. 634, line 2 from below:    "book value"    should read    "replacement value".
    -       p. 642, line 4 from below:    The integral should go from t_0 to plus infinity.

19/11
Ch. 19, p. 730, line 4-3 from below:    Delete "The representative household lives only one period, but leaves a bequest for the next generation."

23/11
Ch. 6, p. 229, line 3:    "The 2010-2012 debt crisis"    should read    "The 2010-2014 debt crisis".

24/11
Ch. 16, p. 651, line 6:    "loans, or government"    should read    "loans, or investment in government".    

Ch. 19, p. 735, right above (19.15):    "(19.1319.4)"    should read    "(19.4)".
    -     , p. 738, line 2:    "not able to bring to"    should read    "not able to bring more to".

Ch. 22, p. 858, footnote:    "Fig. 20.5"    should read    "Fig. 22.5". 

15/12
Ch. 12, p. 476, eq. (12.5) and line 4 from below:    "c(s, v)"    should read    "c(v, s)".
    -       p. 477,  line 4 and 5:    "c(s, v)"    should read    "c(v, s)".

Ch. 21, p. 841, footnote 12: Replace by:    "If one insists on something related to AS-AD, one could interpret this chapter's model as imposing a horizontal AS curve in the output-price plane. We can represent the IS equation as an AD curve in this plane if and only if monetary policy follows a money stock rule. The original IS-LM diagram is more useful, however, because it directly describes the two adjusting variables, output and interest rate. When it comes to the study of sequences of short-run equilibria, a medium-term AD curve in the output-inflation plane will arise." Cf. Short Note 4.

Ch. 30, p. 1062-63:    Delete the last line at p. 1062 and the first two lines at p. 1063.
    -     , p. 1065, eq. (30.21), after the last equal sign:    replace what you see by "Atf'(k_tildet)Kt".

Ch. 31, p. 1080, line 3:    "is the economic system"    should read    "in the economic system".
    -     , p. 1081, line 4 from below:    "Thus seeing"    should read    "Seeing".    
    -     , p. 1082, middle:    "high price elasticity"    should read    "high price flexibility".     
    -     , p. 1083, line 6:    Delete "like (??)".
    -     , p. 1087, Fig. 31.1:    Along the vertical axis, "E1*u'(c2)"    should read    "E1u'(c2*)".

Short Note 4, p. 1, header, line 2:    "28.12.2015"    should read    "28.11.2015".
    -    -         , p. 5, line 3:    "in the system"    should read    "in the dynamic system".
    -    -         , p. 8, line 7:    "never becomes binding"    should read    "does not become binding".
    -    -         , p. 12, line 5 from below:    "the target interest rate"    should read    "the desired interest rate".
    -    -         ,     -  , line 4 from below:    "the target interest rate"    should read    "the desired interest rate".

16/12
Ch. 13, Version 2, p. 546, in title of Figure 13.7:    "Case 1"    should read    "Case 2".
    -     ,     -         , p. 541-547:    These pages were not wrong, but the intuition was not as clear as one might wish. Moreover, Case 1 and Case 2 were not properly distinguished. Hence a rewritten version is here.

31/12
Ch. 15, p. 636, line 10-11, starting with “Due to …, the marginal”:    should read: “Due to the specific form of the positive relationship between building productivity and H, implied by the transformation function T  being homogeneous of degree one in I and H, the marginal” (additions are in read).

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