Franke, Reiner; Flaschel, Peter - Institut für Volkswirtschaftslehre, … - 2008
The paper is concerned with determinacy in a version of the New-Keynesian model that integrates imperfect competition …?s continuous-time counterpart is mathematically tractable and its determinacy results carry over to the period model at least if … the period is sufficiently short. This being understood, it is proved that determinacy is (essentially) ensured if an …