Levin, Andrew T.; López-Salido, José David; Nelson, Edward - 2008
, and unlike the aforementioned early New Keynesian
contributions, the focus is on the standard, modern New Keynesian model …�erences between macroeconometrically equivalent IS curves. Section 7 provides
concluding remarks.
2 A prototypical New Keynesian model …
Below is an outline of a baseline New Keynesian model, which serves as a prototype to which the
subsequent analysis adds …