Parameter Learning in General Equilibrium

Parameter Learning in General Equilibrium
Author: Pierre Collin-Dufresne
Publisher:
Total Pages: 0
Release: 2013
Genre: Economics
ISBN:

Parameter learning strongly amplifies the impact of macro shocks on marginal utility when the representative agent has a preference for early resolution of uncertainty. This occurs as rational belief updating generates subjective long-run consumption risks. We consider general equilibrium models with unknown parameters governing either long-run economic growth, the variance of shocks, rare events, or model selection. Overall, parameter learning generates long-lasting, quantitatively significant additional macro risks that help explain standard asset pricing puzzles.

Parameter Learning in General Equilibrium

Parameter Learning in General Equilibrium
Author: Pierre Collin-Dufresne
Publisher:
Total Pages: 45
Release: 2015
Genre:
ISBN:

Parameter learning strongly amplifies the impact of macro shocks on marginal utility when the representative agent has a preference for early resolution of uncertainty. This occurs as rational belief updating generates subjective long-run consumption risks. We consider general equilibrium models with unknown parameters governing either long-run economic growth, rare events, or model selection. Overall, parameter learning generates long-lasting, quantitatively significant additional macro risks that help explain standard asset pricing puzzles.

Introduction to Computable General Equilibrium Models

Introduction to Computable General Equilibrium Models
Author: Mary E. Burfisher
Publisher: Cambridge University Press
Total Pages: 367
Release: 2011-02-21
Genre: Business & Economics
ISBN: 113949659X

Computable general equilibrium (CGE) models are widely used by governmental organizations and academic institutions to analyze the economy-wide effects of events such as climate change, tax policies and immigration. This book provides a practical, how-to guide to CGE models suitable for use at the undergraduate college level. Its introductory level distinguishes it from other available books and articles on CGE models. The book provides intuitive and graphical explanations of the economic theory that underlies a CGE model and includes many examples and hands-on modeling exercises. It may be used in courses on economics principles, microeconomics, macroeconomics, public finance, environmental economics and international trade and finance, because it shows students the role of theory in a realistic model of an economy. The book is also suitable for courses on general equilibrium models and research methods and for professionals interested in learning how to use CGE models.

A Standard Computable General Equilibrium (CGE) Model in GAMS

A Standard Computable General Equilibrium (CGE) Model in GAMS
Author: Hans Lofgren
Publisher: Intl Food Policy Res Inst
Total Pages: 79
Release: 2002-01-01
Genre: Business & Economics
ISBN: 0896297209

The purpose of this manual is to contribute to and facilitate the use of computable general equilibrium (CGE) models in the analysis of issues related to food policy in developing countries. The volume includes a detailed presentation of a static “standard” CGE model and its required database and incorporates features of particular importance in developing countries. The manual discusses the implementation of the model in GAMS and is accompanied by a CD-ROM that includes the GAMS software (free demo system), the GAMS input files for the model, sample databases, simulations, solution reports, and a social accounting matrix (SAM) aggregation program. Although the volume provides a standardized framework for analysis, the analyst is not forced to make “one-size-fits-all” assumptions. The GAMS code is written to give the analyst considerable flexibility in model specification.