Dynamic Stochastic General Equilibrium Models: Real Business Cycles Models: Closed and Open Economy

This textbook guides the student step-by-step in developing and solving a DSGE (Dynamic Shastic General Equilibrium) model–not only from the technical and conceptual aspects but also through the simulation process of each model. Characterized by a learning-by-doing approach, the book is set apart from the extant textbooks in three ways. First, it performs all the algebra associated with each model, such as the calculation of steady-state and the log-linearization of the model. Second, each ...