a r t i c l e i n f o This paper estimates a Markov-switching dynamic stochastic general equilibrium (MS-DSGE) model that allows shifts in the monetary policy rule coefficients as well as the shock volatilities with Korean data ranged from 1976 to 2013. We find that allowing for the regime-switching aspect both in monetary policy rules and shock volatil-ities is a crucial setup in improving the...

We provide a comprehensive assessment of the predictive power combinations dynamic stochastic general equilibrium (DSGE) models for GDP growth, inflation, and interest rate in euro area. employ battery static pooling weights based on Bayesian model averaging principles, prediction pools, factor representations, entertain six different DSGE specifications five weighting schemes. Our results indi...

â â â â  libya experienced a substantial increase in oil revenue as a result of increased oil prices during the period of the late 1970s and early 1980s, and again after 2000. recent increases in oil production and the price of oil, and their positive and negative macroeconomic impacts upon key macroeconomic variables, are of considerable contemporary importance to an oil dependent economy such...

We study the design of optimal monetary policy under uncertainty in a dynamic stochastic general equilibrium models. We use a Markov jump-linear-quadratic (MJLQ) approach to study policy design, approximating the uncertainty by different discrete modes in a Markov chain, and by taking mode-dependent linear-quadratic approximations of the underlying model. This allows us to apply a powerful meth...