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Bayesian Evaluation of DSGE Models with Financial Frictions

✍ Scribed by BRZOZA-BRZEZINA, MICHAŁ; KOLASA, MARCIN


Book ID
121741133
Publisher
John Wiley and Sons
Year
2013
Tongue
English
Weight
326 KB
Volume
45
Category
Article
ISSN
0022-2879

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## Abstract In this paper we propose a Bayesian econometric procedure for the evaluation and comparison of DSGE models. Unlike in many previous econometric approaches we explicitly take into account the possibility that the DSGE models are misspecified and introduce a reference model to complete th