Showing 1 - 10 of 56
We estimate an open economy dynamic stochastic general equilibrium (DSGE) model of Australia with a number of shocks, frictions and rigidities, matching a large number of observable time series. We find that both foreign and domestic shocks are important drivers of the Australian business cycle....
Persistent link: https://www.econbiz.de/10005423599
We estimate an open economy dynamic stochastic general equilibrium (DSGE) model of Australia with a number of shocks, frictions and rigidities, matching a large number of observable time series. We find that both foreign and domestic shocks are important drivers of the Australian business...
Persistent link: https://www.econbiz.de/10008529189
We estimate a new Keynesian open economy dynamic stochastic general equilibrium model of Australia with a large number of shocks, frictions and rigidities, matching a large number of observable time series. We find that both foreign and domestic shocks are important drivers of the Australian...
Persistent link: https://www.econbiz.de/10010547106
We estimate a new Keynesian open economy dynamic stochastic general equilibrium model of Australia with a large number of shocks, frictions and rigidities, matching a large number of observable time series. We find that both foreign and domestic shocks are important drivers of the Australian...
Persistent link: https://www.econbiz.de/10008837843
This note describes how the Kalman filter and the Kalman smoother can be modified to allow for the vector of observables to be a function of lagged state variables without increasing the dimension of the state vector in the filter.
Persistent link: https://www.econbiz.de/10011189495
The newsworthiness of an event is partly determined by how unusual it is and this paper investigates the business cycle implications of this fact. Signals that are more likely to be observed after unusual events may increase both uncertainty and disagreement among agents. In a simple business...
Persistent link: https://www.econbiz.de/10010884829
"This paper sets up and estimates a structural model of Australia as a small open economy using Bayesian techniques. Unlike other recent studies, the paper shows that a small micro-founded model can capture the open economy dimensions quite well. Specifically, the model attributes a substantial...
Persistent link: https://www.econbiz.de/10005665750
This paper evaluates the consequences for monetary policy performance of acquiring more accurate real time data. A forward looking model is set up and calibrated to fit the broad stylized facts of the U.S. economy. Two different assumptions about the information structure of the economy are...
Persistent link: https://www.econbiz.de/10005744248
In this paper we derive a Phillips curve with a role for higher order expectations of marginal cost and future inflation. We introduce a small idiosyncratic component in firms’ marginal costs and let the economywide average marginal cost be unobservable to the individual firm. The model can...
Persistent link: https://www.econbiz.de/10005033409
This paper argues that assuming a common information set shared by the public and the central bank may be inappropriate when one is concerned with the value of information itself. Specifically, we argue that it may lead one to draw the conclusion that monetary policy do not benefit from accurate...
Persistent link: https://www.econbiz.de/10005190807