Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/144218
Authors: 
Jeanfils, Philippe
Year of Publication: 
2000
Series/Report no.: 
Working Paper Research 4
Abstract: 
This paper presents a new quarterly macroeconometric model of the Belgian economy. It is intended to contribute to existing analytical work covering the specific transmission mechanisms of the euro area monetary policy in the Belgian economy. It also contributes to the forecast exercises and to their risk analysis. Finally it is also used to analyse the consequences of specific Belgian shocks. The model is small-scale and based on recent macroeconomic theory. The model's dynamics not only allow for the lagged adjustments from economic agents due to transaction costs to be taken into consideration, but also for agents to anticipate future developments and policy reactions. In simulations, expectation formation can be assumed either to be model consistent or to be generated by VAR-based extrapolations. On the basis of a few diagnostic simulations it is shown that in the long run the model converges to its steady state, defined by the underlying economic theory.
Document Type: 
Working Paper

Files in This Item:
File
Size
402.53 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.