RDP 2013-06: Estimating and Identifying Empirical BVAR-DSGE Models for Small Open Economies Equation

i t = θ i i t 1 + ( 1 θ i ) ( θ π π t + ( θ y + θ d y ) y t θ d y y t 1 ) + ε i , t . MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaamyAamaaBa aaleaacaWG0baabeaakiabg2da9iabeI7aXnaaBaaaleaacaWGPbaa beaakiaadMgadaWgaaWcbaGaamiDaiabgkHiTiaaigdaaeqaaOGaey 4kaSYaaeWaaeaacaaIXaGaeyOeI0IaeqiUde3aaSbaaSqaaiaadMga aeqaaaGccaGLOaGaayzkaaWaaeWaaeaacqaH4oqCdaWgaaWcbaGaeq iWdahabeaakiabec8aWnaaBaaaleaacaWG0baabeaakiabgUcaRmaa bmaabaGaeqiUde3aaSbaaSqaaiaadMhaaeqaaOGaey4kaSIaeqiUde 3aaSbaaSqaaiaadsgacaWG5baabeaaaOGaayjkaiaawMcaaiaadMha daWgaaWcbaGaamiDaaqabaGccqGHsislcqaH4oqCdaWgaaWcbaGaam izaiaadMhaaeqaaOGaamyEamaaBaaaleaacaWG0bGaeyOeI0IaaGym aaqabaaakiaawIcacaGLPaaacqGHRaWkcqaH1oqzdaWgaaWcbaGaam yAaiaacYcacaWG0baabeaakiaac6caaaa@6997@