Kolasa, Marcin; Rubaszek, Michał - In: International Journal of Forecasting 31 (2015) 1, pp. 1-19
This paper compares the quality of forecasts from DSGE models with and without financial frictions. We find that accounting for financial market imperfections does not result in a uniform improvement in the accuracy of point forecasts during non-crisis times, while the average quality of density...