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Dynamic General Equilibrium Analysis: The Open Economy Dimension

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  • Ganelli, Giovanni
  • Lane, Philip R.

Abstract

This Paper discusses some key issues in the application of dynamic general equilibrium analysis to open economy modeling. In the context of the new open economy macroeconomics paradigm, we focus on: (i) the currency denomination of sticky prices; (ii) the role of the current account and net foreign assets; and (iii) the impact of fiscal policy.

Suggested Citation

  • Ganelli, Giovanni & Lane, Philip R., 2002. "Dynamic General Equilibrium Analysis: The Open Economy Dimension," CEPR Discussion Papers 3540, C.E.P.R. Discussion Papers.
  • Handle: RePEc:cpr:ceprdp:3540
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    More about this item

    Keywords

    dynamic general equilibrium; new open economy macroeconomics;

    JEL classification:

    • F3 - International Economics - - International Finance
    • F4 - International Economics - - Macroeconomic Aspects of International Trade and Finance

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