The Library of Congress > Linked Data Service > BIBFRAME Works

Bibframe Work

Title
Computing business cycles in emerging economy models
Type
Text
Monograph
Subject
Emerging economies
default
sovereign debt
discrete state space
interpolation
Language
English
Geographic Coverage
Classification
LCC: HB1 (Assigner: dlc) (Status: used by assigner)
Supplementary Content
bibliography
Content
text
Summary
"We show that computing business cycles in emerging economy models using the discrete state space technique may be misleading. We solve the models of sovereign default presented by Aguiar and Gopinath (2006) using interpolation. We find that the simulated behavior of the spread is quite different from the behavior obtained using discrete state space. In fact, some of the results obtained by Aguiar and Gopinath (2006) using discrete state space are reversed when using interpolation. Our analysis thus provides a new set of benchmark results for quantitative models of sovereign default."--Federal Reserve Bank of Richmond web site.
Government Publication Type
Federal
Authorized Access Point
Hatchondo, Juan Carlos Computing business cycles in emerging economy models