An Estimated DSGE Model for the United Kingdom

نویسندگان

  • Riccardo DiCecio
  • Edward Nelson
چکیده

We estimate the dynamic stochastic general equilibrium model of Christiano, Eichenbaum, and Evans (2005) on United Kingdom data. Our estimates suggest that price stickiness is a more important source of nominal rigidity in the U.K. than wage stickiness. Our estimates of parameters governing investment behavior are only well behaved when post-1979 observations are included, which reflects government policies until the late 1970s that obstructed the influence of market forces on investment. JEL Classification Nos.: E31; E32; E52.

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تاریخ انتشار 2006