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A Microfounded Sectoral Model for Open Economies

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  • Plasmans, J.E.J.
  • Fornero, J.
  • Michalak, T.

    (Tilburg University, Center for Economic Research)

Abstract

Numerical simulations of the two-country sectoral model are provided for a relatively large number of structural shocks as domestic and foreign productivity shocks in final tradables and non-tradables, money demand shocks and a shock in the exchange rate. Such a model is well suited for monetary policy analysis at the international level and risk analysis.

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Bibliographic Info

Paper provided by Tilburg University, Center for Economic Research in its series Discussion Paper with number 2007-39.

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Date of creation: 2007
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Handle: RePEc:dgr:kubcen:200739

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Web page: http://center.uvt.nl

Related research

Keywords: New Keynesian open economy model; tradable and non-tradable sectors; final and intermediate goods; log-linearization;

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References

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Cited by:
  1. Maria Bas & Ivan Ledezma, 2007. "Market Access and the Evolution of within Plant Productivity in Chile," CESifo Working Paper Series 2077, CESifo Group Munich.
  2. Jorge A. Fornero, 2010. "Ricardian Equivalence Proposition in a NK DSGE Model for two Large Economies: The EU and the US," Working Papers Central Bank of Chile 563, Central Bank of Chile.

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