Macro Models

Lecture handout: Macro Models: from DICE to doughnuts

This session integrates ecological concerns wirth standard economics, providing an overview of how macroeconomists model the economy and how those methods and models relate to climate issues.


For a history of the Phillips curve, listen to:

Here’s a clip of John Lennon saying that overpopulation is a myth:

This was controversial at the time. In fact Paul Ehrlich’s book, The Population Bomb, was so influential it led to the sterilisation of 8 million Indian men. And yet as of January 2023 he’s still receiving media coverage when warning about unsustainable growth. Note:

Here are the scorecards on social progress mentioned:

In some versions of this presentation I discuss agent-based models. You can play with the Schelling model here. To learn more about ABMs I recommend this Runestone Academy interactive textbook. Also see:

Further readings:
  • Boulding, K.E., 1977, “Notes on goods, services, and cultural economics” Journal of Cultural Economics, 1(1):1-12
Recommended audio:
  • Macro 6: DSGE“, Anthony J. Evans (for more depth on Macroeconomic models including my other podcast episodes see here)
Recommended videos:

Here is a fascinating video (in French) on the limits to growth and the World 3 model

Here is Ray Dalio’s 30 minute explainer on his economic framework:

Quiz:

Here’s a short quiz to test your knowledge about the sessions:

https://forms.gle/7gS6wzAuUxirvKJ57

Learning Objectives: Consider the upper limits of economic growth and the impact of economic activity on the environment.