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On the Learnability of Rational Expectations Equilibria in Three Business Cycle Models

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Author Info
Packalen, M.
Abstract

In this thesis we analyze the learnability of rational expectiations equilibria in three general equilibrium business cycle models. The economic example business cycles models comprise the basic real business cycles model, an increasing returns model and a model with both static and dynamic complementarities. In these models the business cycles are driven by both shocks that affect the production technology and by taste shocks that affect the marginal rate of substitution between consumption and labor. In the two latter models we also analyze the existence and learnability of sunspot rational expectations equilibria.

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Publisher Info
Paper provided by Department of Economics in its series University of Helsinki, Department of Economics with number 87.

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Length: 55 pages
Date of creation: 2000
Date of revision:
Handle: RePEc:fth:helsec:87

Contact details of provider:
Postal: University of Helsinki; Department of Economics, P.O.Box 54 (Unioninkatu 37) FIN-00014 Helsingin Yliopisto
Phone: +358 9 191 8897
Fax: +358 9 191 8877
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Web page: http://www.valt.helsinki.fi/katal/
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Related research
Keywords: EXPECTATIONS ; BUSINESS CYCLES ; LEARNING;

Find related papers by JEL classification:
E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
E37 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Forecasting and Simulation

Cited by:
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  1. James B. Bullard & John Duffy, 2004. "Learning and structural change in macroeconomic data," Working Papers 2004-016, Federal Reserve Bank of St. Louis. [Downloadable!]
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This page was last updated on 2009-12-16.


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