RDP 2013-09: Terms of Trade Shocks and Incomplete Information Equation (17)

β E t { λ t + 1 [ 1 δ + R t + 1 K ] } = λ t ( 1 + ϕ ( K t + 1 K t μ ) ) + β E t { λ t + 1 [ ϕ 2 ( K t + 2 K t + 1 μ ) 2 ϕ K t + 2 K t + 1 ( K t + 2 K t + 1 μ ) ] } MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGceaqabeaacqaHYo GytuuDJXwAK1uy0HMmaeHbfv3ySLgzG0uy0HgiuD3BaGqbaabaaaaa aaaapeGae8hHWx0aaSbaaSqaaiaadshaaeqaaOWaaiWaaeaacqaH7o aBdaWgaaWcbaGaamiDaiabgUcaRiaaigdaaeqaaOWaamWaaeaacaaI XaGaeyOeI0IaeqiTdqMaey4kaSIaamOuamaaDaaaleaacaWG0bGaey 4kaSIaaGymaaqaaiaadUeaaaaakiaawUfacaGLDbaaaiaawUhacaGL 9baacqGH9aqpcqaH7oaBdaWgaaWcbaGaamiDaaqabaGcdaqadaqaai aaigdacqGHRaWkcqaHvpGzdaqadaqaamaalaaabaGaam4samaaBaaa leaacaWG0bGaey4kaSIaaGymaaqabaaakeaacaWGlbWaaSbaaSqaai aadshaaeqaaaaakiabgkHiTiabeY7aTbGaayjkaiaawMcaaaGaayjk aiaawMcaaaqaaiabgUcaRiabek7aIjab=ri8fnaaBaaaleaacaWG0b aabeaakmaacmaabaGaeq4UdW2aaSbaaSqaaiaadshacqGHRaWkcaaI XaaabeaakmaadmaabaWaaSaaaeaacqaHvpGzaeaacaaIYaaaamaabm aabaWaaSaaaeaacaWGlbWaaSbaaSqaaiaadshacqGHRaWkcaaIYaaa beaaaOqaaiaadUeadaWgaaWcbaGaamiDaiabgUcaRiaaigdaaeqaaa aakiabgkHiTiabeY7aTbGaayjkaiaawMcaamaaCaaaleqabaGaaGOm aaaakiabgkHiTiabew9aMnaalaaabaGaam4samaaBaaaleaacaWG0b Gaey4kaSIaaGOmaaqabaaakeaacaWGlbWaaSbaaSqaaiaadshacqGH RaWkcaaIXaaabeaaaaGcdaqadaqaamaalaaabaGaam4samaaBaaale aacaWG0bGaey4kaSIaaGOmaaqabaaakeaacaWGlbWaaSbaaSqaaiaa dshacqGHRaWkcaaIXaaabeaaaaGccqGHsislcqaH8oqBaiaawIcaca GLPaaaaiaawUfacaGLDbaaaiaawUhacaGL9baaaaaa@9BC4@