Another weakness of "determinacy" as a selection criterion for rational expectations models

C-Tier
Journal: Economics Letters
Year: 2009
Volume: 104
Issue: 1
Pages: 17-19

Authors (2)

Cho, Seonghoon (not in RePEc) McCallum, Bennett T.

Score contribution per author:

0.503 = (α=2.01 / 2 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper argues against determinacy as a guide to interpret rational expectations solutions, using an example in which a determinate solution exists but differs sharply in dynamic behavior from that implied by the model considered on a sector-by-sector basis.

Technical Details

RePEc Handle
repec:eee:ecolet:v:104:y:2009:i:1:p:17-19
Journal Field
General
Author Count
2
Added to Database
2026-01-25