A classification of empirical CGE modelling

Mark Thissen

Research output: Working paperAcademic

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This paper investigates asymmetric effects of monetary policy over the business cycle. A two-state Markov Switching Model is employed to model both recessions and expansions. For the United States and Germany, strong evidence is found that monetary policy is more effective in a recession than during a boom. Also some evidence is found for asymmetry in the United Kingdom and Belgium. In the Netherlands, monetary policy is not very effective in either regime.
Original languageEnglish
Number of pages18
Publication statusPublished - 1998

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