model, we estimate responses, identify parameters, and conduct counterfactuals. Domestic investment of firms with the mean … foreign capital. In the model, the long-run effect on domestic capital in general equilibrium is 7% and the tax revenue …

maximization with general heterogeneity, i.e. in the random utility model (RUM). We show that utility maximization and convex …

what conditions either method is preferred. We then extend model-average impulse responses to this nonlinear environment …

New Keynesian model. The model naturally generates investment-consumption comovement in response to household demand …

We develop a model of self-fulfilling default cycles with demand externality a la Dixit- Stiglitz to explain the … of periodic orbits can emerge in the perfect foresight equilibrium. Our model is consistent with the view that business …

We develop a dynamic model of firm investment under uncertainty that captures firms' risk attitude using quantile …-quantile of its value next period. In our framework, τ ∈ (0, 1) parametrizes the firm's attitude toward downside risk. The model … value of future marginal profits -- investment depends directly on the firm's risk attitude. We further integrate our model …