Overview
- Includes step-by-step mathematical explanations for a better understanding of the presented models
- Introduces alternatives for writing DYNARE’s code for RBC and NKE models
- Explains mathematical methods necessary to understand RBC models
Part of the book series: Springer Texts in Business and Economics (STBE)
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About this book
This textbook introduces graduate and upper undergraduate students to Dynamic Stochastic General Equilibrium (DSGE) models. As DSGE models become integral in advanced coursework, this book serves as an invaluable guide, explaining the complexities with a methodological red thread across its five chapters. Starting with the stochastic dynamic models of the Real Business Cycle (RBC) and progressing through the field of New Keynesian Macroeconomics (NKE), it employs DSGE models to shed light on the dynamic nature of economic systems.
The book presents the Blanchard-Kahn methodology for theoretical solutions, discussing its usefulness and limitations as models evolve in complexity. The book goes on to explain the shift from analytical to numerical solutions, showcasing the DYNARE software and providing coding insights. Unique to this volume is a chapter on difference equations, equip** students with essential mathematical tools, and a concluding exploration of a medium-sized NewKeynesian Economics model.
This book will equip students to navigate the theoretical complexities of the topic and to independently replicate and comprehend the presented results. It bridges the gap between classical and Keynesian paradigms, reviving the debate in today's "RBC vs NKE" landscape. It will enable students to master the essence of macroeconomic theories and methodologies, paving the way for their scholarly pursuits.
Keywords
- Dynamic General Equilibrium
- DSGE models
- Stochastic dynamic models
- Real Business Cycle
- New Keynesian Macroeconomics
- Blanchard-Kahn method
- DYNARE
- Macroeconomic theories
- Economic policy interventions
- Mathematical methods in economics
- Rational expectations
- Numerical solution methods
- Difference equations
- Representative agents
- Micro-founded Neo-Keynesian model
- Real wages
- Real stickiness
Table of contents (6 chapters)
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Front Matter
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Back Matter
Authors and Affiliations
About the author
Giuseppe Chirichiello is an Italian economist and a Full Professor Emeritus of Economics at Sapienza Università di Roma (SUR), Italy, since 1992. During his career, he employed the position of Chairman of the Institute of Economics and Finance at the Faculty of Law at the SUR. Chirichiello also served as an auditor of scientific projects (PRIN) at the Italian Ministry of Scientific Research. Additionally, he was a member of the GI Inspection Group at Sapienza Università di Roma.
He has been a board member of the DSG Department at the Faculty of Law at SUR from 2003 to 2006, a member of various national P&T commissions for lecturer, associate professor, and full professor positions from 1986 to 2008, and a member of the Scientific Committee and of the Board of the former Center of Experimental Economics at LUISS University, Rome, from 1989 to 1996. Chirichiello's research focuses on general economic equilibrium theory, disequilibrium theory; foundations of monetary theory, models and controversies in macroeconomic theory, and dynamic macroeconomics.
Bibliographic Information
Book Title: DSGE Models for Real Business Cycle and New Keynesian Macroeconomics
Book Subtitle: Theoretical Methods and Numerical Solutions with DYNARE
Authors: Giuseppe Chirichiello
Series Title: Springer Texts in Business and Economics
DOI: https://doi.org/10.1007/978-3-031-56034-7
Publisher: Springer Cham
eBook Packages: Economics and Finance, Economics and Finance (R0)
Copyright Information: The Editor(s) (if applicable) and The Author(s), under exclusive license to Springer Nature Switzerland AG 2024
Hardcover ISBN: 978-3-031-56033-0Published: 21 May 2024
Softcover ISBN: 978-3-031-56036-1Due: 21 June 2024
eBook ISBN: 978-3-031-56034-7Published: 20 May 2024
Series ISSN: 2192-4333
Series E-ISSN: 2192-4341
Edition Number: 1
Number of Pages: XVII, 365
Number of Illustrations: 7 b/w illustrations, 5 illustrations in colour
Topics: Macroeconomics/Monetary Economics//Financial Economics, Economic Theory/Quantitative Economics/Mathematical Methods, Public Economics, Labor Economics