We propose a new information criterion for impulse response function matching estimators (IRFMEs) of the structural parameters of dynamic stochastic general equilibrium (DSGE) macroeconomic models. An advantage of our procedure is that it allows researchers to select the impulse responses that...

The recognition that policies aimed at “getting prices right” in less developed countries werefailing due to incomplete markets has spurred a new wave of reforms, directed instead at“getting markets and institutions right”. Although previous studies have documented thepotentially crucial...