vastly different results. In this paper, we overcome this by estimating a DSGE model using a structural Bayesian estimation …

thought not, and theory offers ambiguous messages. A hard exchange-rate regime such as the gold standard might limit monetary … shocks if it ties the hands of policy makers. But any decision to forsake exchange-rate flexibility might compromise shock …

Friedman's hypothesis. In response to a negative terms-of-trade shock, countries with fixed regimes experience large and …

-cycle framework how individuals respond to recessions. Our focus is on the sharp increase in savings rates that have been observed in … negative shock to individual income; (ii) an increase in the variance of idiosyncratic permanent shocks; (iii) a tightening of … times. We show that the rise in the aggregate savings ratio is driven by increases in uncertainty, rather than tighening of …

interdependencies between the terms of trade and economic growth are offered: the home market effect and the productivity shock effect …