TY  - BOOK
AU  - Hansen, Lars Peter
AU  - Sargent, Thomas J.
TI  - Recursive Models of Dynamic Linear Economics
SN  - 9780691180731
PY  - 2014///
CY  - Princeton and Oxford
PB  - Princeton University Press
KW  - Economics--Mathematical models
KW  - Society & Social Sciences
KW  - Psychology
N2  - A common set of mathematical tools underlies dynamic optimization, dynamic estimation, and filtering. In Recursive Models of Dynamic Linear Economies, Lars Peter Hansen and Thomas Sargent use these tools to create a class of econometrically tractable models of prices and quantities. They present examples from microeconomics, macroeconomics, and asset pricing. The models are cast in terms of a representative consumer. While Hansen and Sargent demonstrate the analytical benefits acquired when an analysis with a representative consumer is possible, they also characterize the restrictiveness of assumptions under which a representative household justifies a purely aggregative analysis
ER  -