Since the financial meltdown of 2007, advanced macroeconomic theory has delved more deeply into the question of the appropriate fiscal policy when the nominal interest rate is close to or at zero percent. Such analysis is typically conducted with the aid of New Keynesian Dynamic Stochastic...

This paper deals with Dynamic Stochastic General Equilibrium (DSGE) models under a multivariate student-<italic>t</italic> distribution for the structural shocks. Based on the solution algorithm of Klein (2000) and the gamma-normal representation of the <italic>t</italic>-distribution, the TaRB-MH algorithm of Chib and...

In this paper we develop new Markov chain Monte Carlo schemes for the estimation of Bayesian models. One key feature of our method, which we call the tailored randomized block Metropolis-Hastings (TaRB-MH) method, is the random clustering of the parameters at every iteration into an arbitrary...

This paper provides a concise primer on the estimation of constant gain learning models. One practical concern in the estimation procedure is the initialization of the learning parameters. The popular approach in the literature relies on a training sample to estimate these quantities. We also...

Modern Bayesian tools aided by MCMC techniques allow researchers to estimate models with increasingly intricate dynamics. This paper highlights the application of these tools with an empirical assessment of optimal versus operational monetary policy rules within a standard New Keynesian...

The hedonic modeling literature is rich with analyses of the importance of public school quality on real estate markets. In this paper, spatial dependency is incorporated in a hedonic model based on housing, neighborhood, demographic, and school quality attributes readily available on the...

New England has undergone significant change in its employment and labor force over the past three decades. Employment in the region has shifted from manufacturing into services at a faster rate than it has in the United States as a whole. Within manufacturing the trend has been away from...

This paper employs a hazard model to analyse the impact of education and two types of prison employment programmes on recidivism over a ten-year period for 4515 prisoners released from Ohio prisons in 1992. Estimations with a Weibull mixture model and propensity score approach provide two means...

This article finds evidence that ideas and innovation are a key force explaining postwar growth in the U.S. economy. Utilizing data on patents issued since 1851, I construct a measure of the growth rate of knowledge. Capital stock estimates, human capital estimates, and real gross domestic...