RDP 9208: Credit Supply and Demand and the Australian Economy
Equation
f
(
Q
t
|X
Dt
,X
St
)
=
π
t
[
f
D
(
Q
t
)
F
S
(
Q
t
)
π
t
]
+
(
1
−
π
t
)
[
f
S
(
Q
t
)
F
D
(
Q
t
)
1
−
π
t
]
=
f
D
(
Q
t
)
F
S
(
Q
t
)
+f
S
(
Q
t
)
F
D
(
Q
t
)
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