(DSGE) models with rare disasters along the lines of those proposed by Rietz (1988), Barro (2006), Gabaix (2012), and Gourio … (2012). DSGE models with rare disasters require solution methods that can handle the large nonlinearities triggered by low …

We postulate a nonlinear DSGE model with a financial sector and heterogeneous households. In our model, the interaction … of these features. Methodologically, we discuss how nonlinear DSGE models with heterogeneous agents can be efficiently …

particular, we find that the recovery after a negative aggregate shock is more sluggish when the economy is more leveraged …

particular, we find that the recovery after a negative aggregate shock is more sluggish when the economy is more leveraged …

particular, we find that the recovery after a negative aggregate shock is more sluggish when the economy is more lever …

We postulate a nonlinear DSGE model with a financial sector and heterogeneous households. In our model, the interaction … of these features. Methodologically, we discuss how nonlinear DSGE models with heterogeneous agents can be efficiently …

We postulate a nonlinear DSGE model with a financial sector and heterogeneous households. In our model, the interaction … of these features. Methodologically, we discuss how nonlinear DSGE models with heterogeneous agents can be efficiently …