Le, Vo Phuong Mai; Meenagh, David; Minford, Patrick; … - In: Journal of Economic Dynamics and Control 35 (2011) 12, pp. 2078-2104
We evaluate the Smets–Wouters New Keynesian model of the US postwar period, using indirect inference, the bootstrap and a VAR representation of the data. We find that the model is strongly rejected. While an alternative (New Classical) version of the model fares no better, adding limited...
