We introduce deep equilibrium nets—a deep learning-based method to compute approximate recursive equilibria of economic models featuring a substantial amount of heterogeneity, significant uncertainty, and occasionally binding constraints. Deep equilibrium nets are neural networks that directly...

We consider dynamic stochastic economies with heterogeneous agents and introduce the concept of uniformly self-justified equilibria (USJE)---temporary equilibria for which forecasts are best uniform approximations to a selection of the equilibrium correspondence. In a USJE, individuals'...

Anthropogenic climate change produces two conceptually distinct negative economic externalities. The first is an expected path of climate damage. The second, which is this paper's focus, is an expected path of economic risk. To isolate the climate-risk problem, we consider mean-zero, symmetric...

This paper presents a dynamic stochastic general equilibrium model of Ricardian business cycles. Our model is Ricardian because countries (or, equivalently, regions) trade to take advantage of their comparative advantages. Their relative efficiencies, however, change over time stochastically....

There is a rapidly advancing literature on the macroeconomics of climate change. This review focuses on developments in the construction and solution of structural integrated assessment models (IAMs), highlighting the marriage of state-of-the-art natural science with general equilibrium theory....