Titlebook: Business Cycle Theory; A Survey of Methods Günter Gabisch,Hans-Walter Lorenz Book 19871st edition Springer-Verlag Berlin Heidelberg 1987 K

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Springer-Verlag Berlin Heidelberg 1987

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Coverage of the HICP: What, Where, Who?As was just pointed out, the shock-dependent business cycle models of Chapter 3 require some kind of exogenously initiated disturbance of the system’s dynamics in order to generate . fluctuations in the face of otherwise damped oscillations. There are basically two ways of treating the occurrence of exogenous shocks:

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Shock-Dependent Business Cycle Theories,ot explained in itself by the model. Although most of the models in this chapter are generally able to display steady and explosive oscillations as well, economic reasoning restricts their valid parameter regimes such that only damped oscillations around stable equilibria are allowed. In order to ex

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