The portfolio balance approach, on which KOFI is based, as well as its formal structure, has been described in an earlier Working Paper. The purpose of the present paper is to place the model in its institutional context and to illustrate its properties by simulations. Furthermore, previous...

The model includes seven sectors (Central Bank, central government, banks mortgage institutions, private and social insurance, non-financial business and households, foreign) and nine asset categories (certificates, bonds, bank deposits, loans, equity, net foreign assets, notes and coin,...

One aspect of model behaviour that is of interest to the model builder is sensitivity to different forms of errors. This can be investigated using stochastic simulations, as shown by Gajda [1995]. The method involves generating random numbers from a given (usually normal) distribution and...

The Output Gap: Measurement, Related Concepts and Policy Implications - Parameswar Nandakumar, A note on finding a NAIRU for Sweden using univariate filtering - Lasse Koskinen and Lars-Erik Öller, The Output Gap Computed Using the Relations in KOSMOS - Aleksander Markowski