JeanBernard, Chatelain and Kirsten, Ralf (2014): A finite set of equilibria for the indeterminacy of linear rational expectations models.

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Abstract
This paper demonstates the existence of a finite set of equilibria in the case of the indeterminacy of linear rational expectations models. The number of equilibria corresponds to the number of ways to select n eigenvectors among a larger set of eigenvectors related to stable eigenvalues. A finite set of equilibria is a substitute to continuous (uncountable) sets of sunspots equilibria, when the number of independent eigenvectors for each stable eigenvalue is equal to one.
Item Type:  MPRA Paper 

Original Title:  A finite set of equilibria for the indeterminacy of linear rational expectations models 
Language:  English 
Keywords:  Linear rational expectations models, indeterminacy, multiple equilibria, Riccati equation, sunspots. 
Subjects:  C  Mathematical and Quantitative Methods > C6  Mathematical Methods ; Programming Models ; Mathematical and Simulation Modeling > C60  General C  Mathematical and Quantitative Methods > C6  Mathematical Methods ; Programming Models ; Mathematical and Simulation Modeling > C61  Optimization Techniques ; Programming Models ; Dynamic Analysis C  Mathematical and Quantitative Methods > C6  Mathematical Methods ; Programming Models ; Mathematical and Simulation Modeling > C62  Existence and Stability Conditions of Equilibrium E  Macroeconomics and Monetary Economics > E1  General Aggregative Models > E13  Neoclassical E  Macroeconomics and Monetary Economics > E6  Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook > E60  General 
Item ID:  57506 
Depositing User:  JeanBernard Chatelain 
Date Deposited:  24 Jul 2014 02:36 
Last Modified:  30 Sep 2019 23:09 
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URI:  https://mpra.ub.unimuenchen.de/id/eprint/57506 