Chen, Kuan-Jen; Chu, Angus C.; Lai, Ching-Chong - Institute of Economics, Academia Sinica - 2014
This paper incorporates home production into a real business cycle (RBC) model of a small open economy to provide a parsimonious explanation of the empirical pattern of international business cycles in developed economies and emerging markets. It is well known in the literature that in order for...
