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EMPIRICAL PROPERTIES OF CLOSED- AND OPEN-ECONOMY DSGE MODELS OF THE EURO AREA
MALIN ADOLFSON, STEFAN LASÉEN, JESPER LINDÉ, MATTIAS VILLANI
Journal:

Macroeconomic Dynamics / Volume 12 / Issue S1 / April 2008

Published online by Cambridge University Press:

01 April 2008, pp. 2-19
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In this paper, we compare the empirical properties of closed- and open-economy DSGE models estimated on Euro area data. The comparison is made along several dimensions; we examine the models in terms of their marginal likelihoods, forecasting performance, variance decompositions, and their transmission mechanisms of monetary policy.

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EMPIRICAL PROPERTIES OF CLOSED- AND OPEN-ECONOMY DSGE MODELS OF THE EURO AREA