An OLS approach to computing Ramsey equilibria in medium-scale macroeconomic models

Stephanie Schmitt-Grohe and Martín Uribe (mu2166@columbia.edu)

Economics Letters, 2012, vol. 115, issue 1, 128-129

Abstract: This note describes a general procedure for solving for the steady state and the dynamics implied by the Ramsey equilibrium of medium-scale macroeconomic models. The procedure yields an exact numerical solution for the steady state and second-order accurate dynamics. It introduces a novel projection-based approach to calculating exact solutions to the steady state of Ramsey equilibria.

Keywords: Computing Ramsey steady states; Medium-scale DSGE models; Approximation welfare (search for similar items in EconPapers)
JEL-codes: C6 E6 (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (17)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0165176511005313
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolet:v:115:y:2012:i:1:p:128-129

DOI: 10.1016/j.econlet.2011.12.019

Access Statistics for this article

Economics Letters is currently edited by Economics Letters Editorial Office

More articles in Economics Letters from Elsevier
Bibliographic data for series maintained by Catherine Liu (repec@elsevier.com).