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by Giuseppe Chirichiello (Author)
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, equipping 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.
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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, equipping students with essential mathematical tools, and a concluding exploration of a medium-sized New Keynesian 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.
Author Biography
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.
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