MACROECONOMIC MODELLING IN A CHANGING WORLD

Delivers an up-to-date account of recent developments in the construction and use of large scale macroeconomic models. The text focuses on the creation of a new model developed at one of the world's leading research centers in macroeconomic modelling. Surveys the theoretical literature on supply side modelling and the range of production functions which have been traditionally applied. Discusses the learning approach to expectations formation and analyzes the stability of various expectation rules.