This dissertation consists of three essays studying various issuesin international macroeconomics and macroeconomics.The first essay investigates the dynamics of the relative price ofnontradable to tradable goods at business cycle frequencies andfinds that it displays an emph{S}-shaped cross...

Suppose we wish to carry out likelihood based inference but we solely have an unbiased simulation based estimator of the likelihood.  We note that unbiasedness is enough when the estimated likelihood is used inside a Metropolis-Hastings algorithm.  This result has recently been introduced in...

We present a comprehensive framework for Bayesian estimation of structural nonlinear dynamic economic models on sparse grids. TheSmolyak operator underlying the sparse grids approach frees global approximation from the curse of dimensionality and we apply it to a Chebyshev approximation of the...