Recursive macroeconomic theory The imperialism of recursive methods Tools Competitive equilibria and applications The savings problem and Bewley models Recursive contracts Classical monetary economics and search Technical appendixes Recursive methods offer a powerful approach for characterizing and solving complicated problems in dynamic macroeconomics. Recursive Macroeconomic Theory provides both an introduction to recursive methods and advanced material mixing tools and sample applications. The second edition contains substantial revisions to about half the original material and extensive additional coverage appears in seven chapters new to this edition. The updated and added material covers new topics that further illustrate the power and pervasiveness of recursive methods.