7. The New Keynesian Model
NKM.pdfNotebook discussed in class ("The New Keynesian Model with a Demand Shock") here
There were two typos in the notebook above, which should be corrected. The new notebook version posted today (23 May 2022, 21:30h) is already cleaned from those typos.
A notebook that was mentioned in classes (but not covered for lack of time) can be found here.
This notebook deals with "The New Keynesian Model with Persistence and a Shock to r^n". It is an interesting exercise because we can obtain hump-shaped impulse response functions and relevant statistical information with one single shock and persistence in inflation and the output gap.
This notebook will not be included in the evaluation process.