The Boltzmann–Gibbs distribution is currently widely used in economic modeling. One of the applications is integrated with the DSGE (Dynamic Stochastic General Equilibrium) model. However, a question that arises concerns whether the Boltzmann–Gibbs distribution can be directly applied, without considering the underlying social network structure more seriously, even though the social network str...

We analyze the euro area business cycle in a medium scale DSGE model where we assume two stochastic trends: one on total factor productivity and one on the in ation target of the central bank. To justify our choice of integrated trends, we test alternative speci cations for both of them. We do so, estimating trends together with the model's structural parameters, to prevent estimation biases. I...

We examine solutions in which neither player is worse off from the leadership of one in a policy maker-public game. The loop model of dynamic games is used. Outcome space is dotted with equivalence classes of solutions. The Dynamic Stochastic General Equilibrium (DSGE) results and their New Keynesian variants might represent one category. The economy is the neighborhood of a market-clearing equ...