Lippi, Marco; Zaffaroni, Paolo - Suntory and Toyota International Centres for Economics … - 1998
his paper deal with aggregation of AR(1) micro variables driven by a common and idiosyncratic shock with random coefficients. We provide a rigorous analysis, based on results on sums of r.v.'s with a possibly finite first moment, of the aggregate variance and spectral density, as the number of...
