How to Get the Blanchard-Kahn Form from a General Linear Rational Expectations Model

Raouf Boucekkine (), Cuong Le van and Katheline Schubert

Computing in Economics and Finance 1996 from Society for Computational Economics

Abstract: In this paper we prove that every linear model with rational expectations can be transformed by means of an one-to-one mapping into another model which has one of the following properties: i) it is degenerated, ii) it is backward, iii) it has a Blanchard-Kahn form. In addition to some simple illustrations, we provide two applications on two nonlinear forward-looking economic models in order to show how to use our theoretical analysis for local stability assessement.

Keywords: Expectations; Blanchard-Kahn form; reduction algorithms. (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-mac
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://www.unige.ch/ce/ce96/ps/levan.eps (application/postscript)
Our link check indicates that this URL is bad, the error code is: 404 Not Found

Related works:
Working Paper: How to get the Blanchard-Kahn form from a general linear rational expectations model (1996)
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:sce:scecf6:_035

Access Statistics for this paper

More papers in Computing in Economics and Finance 1996 from Society for Computational Economics Department of Econometrics, University of Geneva, 102 Bd Carl-Vogt, 1211 Geneva 4, Switzerland. Contact information at EDIRC.
Bibliographic data for series maintained by Christopher F. Baum ().