RT Dissertation/Thesis
T1 Frameworks for evaluating macroeconomic policies
A1 Kirkby, Robert
AB This thesis brings together the three chapters that together form my PhD thesis. Asindicated by the title, Frameworks for Evaluating Macroeconomic Policies, the common themelinking the three is a focus on the development of modeling frameworks that can be used for theevaluation of Macroeconomic policies. Ways in which these models can be compared with eachother and with the data are recurrent themes.The first chapter How to Model Money? Racing Monetary Frameworks against theQuantity Theory of Money is about finding frameworks for evaluating monetary policies.Currently three main approaches exist: CashinAdvance,New Keynesian, and SearchMoney.Using empirical facts on the Quantity Theory of Money as a yardstick we compare these threeframeworks. It results that all three frameworks are display the Quantity Theory of Money overthe longrun,as in the data. But all three frameworks display way too much of the QuantityTheory of Money over the shortrun.The race thus ends in a draw, but one illustrative of thestrengths and weaknesses of all three frameworks. The results suggest that better modeling ofother causes of inflation, and of heterogeneity, are important to improving monetary models.The second chapter Evaluating a FlatTaxReform is a quantitative modelling of a flattaxreform for the US. The modeling focuses on replicating the details of current US taxation andinequality. This later is important as the effects on inequality of such a tax reform are one of themain arguments given against it.The third chapter Estimation of BewleyHuggettAiyagariModels: Theory andImplementation present inprogresswork developing theory relevant to simulated moment andsimulated likelihood estimation of a class of heterogeneous agent models. Theory focuses ondeveloping the required assumptions directly from model fundamentals, and from accounting forthe dependence of the estimation on numerical solution and simulation of the models. Attentionis also given to implementation of the estimators, in particular which algorithms workcomputationally.The three chapters are presented here in the form of three separate articles. Howeverthe common thread of developing frameworks for the evaluation of macroeconomic policies isclearly evident throughout. I hope they may be of interest to the reader
YR 2014
FD 2014-05
LK https://hdl.handle.net/10016/19098
UL https://hdl.handle.net/10016/19098
LA eng
NO How to model money? : racing monetary frameworks against the quantity theory of money. Evaluating a flat-tax reform. Estimation of Bewley-Huggett-Aiyagari models : theory and implementation
DS e-Archivo
RD 12 ago. 2024