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"This paper studies conditions under which demand-side shocks can generate realistic business cycles in RBC models. Although highly persistent demand shocks are necessary for generating procyclical investment, variable capacity utilization and habit formation can reduce the required degree of persistence"--Federal Reserve Bank of St. Louis web site.
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Demand shocks and economic fluctuations
2006, Federal Reserve Bank of St. Louis
electronic resource /
in English
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Book Details
Edition Notes
Title from PDF file as viewed on 6/26/2006.
Includes bibliographical references.
Also available in print.
System requirements: Adobe Acrobat Reader.
Mode of access: World Wide Web.
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- Created December 17, 2020
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