Business cycle amplification with heterogeneous expectations

DOI10.1007/s00199-010-0541-2zbMath1214.91081OpenAlexW2056787795MaRDI QIDQ540410

William A. Branch, Bruce McGough

Publication date: 3 June 2011

Published in: Economic Theory (Search for Journal in Brave)

Full work available at URL: https://doi.org/10.1007/s00199-010-0541-2

zbMATH Keywords

propagationheterogeneous expectationsreal business cyclesrestricted perceptions

Mathematics Subject Classification ID

Economic dynamics (91B55) Dynamic stochastic general equilibrium theory (91B51) Heterogeneous agent models (91B69)

Related Items (11)

Heterogeneity and learning with complete markets ⋮ Are the representative agent's beliefs based on efficient econometric models? ⋮ Learnability of an equilibrium with private information ⋮ E-stability in the stochastic Ramsey model ⋮ Modeling diverse expectations in an aggregated New Keynesian model ⋮ Policy change and learning in the RBC model ⋮ Adaptive learning and distributional dynamics in an incomplete markets model ⋮ Monetary policy and heterogeneous expectations ⋮ The diversity of forecasts from macroeconomic models of the US economy ⋮ Diverse beliefs and time variability of risk premia ⋮ Expectational coordination in simple economic contexts. Concepts and analysis with emphasis on strategic substituabilities

Cites Work

• Monetary policy and heterogeneous expectations
• Animal spirits and monetary policy
• Financial leverage and market volatility with diverse beliefs
• The diversity of forecasts from macroeconomic models of the US economy
• Diverse beliefs and time variability of risk premia
• The role of expectations in economic fluctuations and the efficacy of monetary policy
• When can changes in expectations cause business cycle fluctuations in neo-classical settings?
• Convergence of least squares learning mechanisms in self-referential linear stochastic models
• On the structure and diversity of rational beliefs
• Rules of thumb in macroeconomic equilibrium
• Endogenous uncertainty and the non-neutrality of money
• A New Keynesian model with heterogeneous expectations
• Intrinsic heterogeneity in expectation formation
• The Solution of Linear Difference Models under Rational Expectations
• A Rational Route to Randomness
• Money non-neutrality in a rational belief equilibrium with financial assets

This page was built for publication: Business cycle amplification with heterogeneous expectations