We present a simple version of a dynamic general equilibrium model of the international transmission of the business cycle. We analyze its solution and its predictions, and we compare these predictions with the observed comovements of international macroeconomic aggregates. Then, we present a...

We develop, calibrate and simulate a model of the business cycle which encompasses several different classes of modern business cycle models. The model includes elements of endogenous growth, monopolistic competition in the goods market, and nominal rigidities due to non-contingent wage...