The Stochastic Growth Model
by Koen Vermeylen
Publisher: BookBoon 2010
ISBN/ASIN: 8776812138
Number of pages: 32
Description:
This text presents the stochastic growth model. The stochastic growth model is a stochastic version of the neoclassical growth model with microfoundations, and provides the backbone of a lot of macroeconomic models that are used in modern macroeconomic research. The most popular way to solve the stochastic growth model, is to linearize the model around a steady state, and to solve the linearized model with the method of undetermined coefficients.
Download or read it online for free here:
Download link
(2MB, PDF)
Similar books

by Marcel B. Finan - Arkansas Tech University
This book is intended to help individuals to pass actuarial exams. The manuscript covers the financial economics segment of Exam M referred to by MFE/3F. Answer keys are provided so that you check your numerical answers against the correct ones.
(13255 views)

by Lars Hansen, Thomas J. Sargent
This book views many apparently disparate dynamic economic models as examples of a single class of models that can be adapted and specialized. The goal is to create a class of models that merge recursive economic theory with dynamic econometrics.
(12456 views)

by Brian Krauth - Simon Fraser University
The purpose of this course is to put you in a position to read and analyze journal articles in macroeconomics. The goal of 'teaching you macroeconomics' by describing theories and empirical observations about the macroeconomy -- is secondary.
(16498 views)

by Martin Uribe - Duke University
An introduction to open economy macroeconomics. From the table of contents: A First Look at the Data; An Endowment Economy; An Economy with Capital; The Real Business Cycle Model; The Terms of Trade; Interest-Rate Shocks; Sovereign Debt.
(15486 views)