Wong, Chin-Yoong; Eng, Yoke-Kee - In: Economics Letters 114 (2012) 3, pp. 292-295
Through a finite-lived dynamic stochastic general equilibrium (DSGE) model comprising bubbly capital with fixed supply, one-period gestation lag, and a cash-in-advance constraint, we show that a money-accommodated but not price-accommodated technological shock can trigger excessive movement in...