Gust, Christopher; Lopez-Salido, David; Smith, Matthew E. - Federal Reserve Board (Board of Governors of the … - 2012
Using Bayesian methods, we estimate a nonlinear DSGE model in which the interest-rate lower bound is occasionally binding. We quantify the size and nature of disturbances that pushed the U.S. economy to the lower bound in late 2008 as well as the contribution of the lower bound constraint to the...
