Publisher Summary This chapter examines local and global approximation methods that
have been used or have potential future value in economic and econometric analysis. The …

We propose a general and highly efficient method for solving and estimating general
equilibrium heterogeneous‐agent models with aggregate shocks in discrete time. Our …

This chapter provides an overview of solution and estimation techniques for dynamic
stochastic general equilibrium models. We cover the foundations of numerical …

In this paper, I review the literature on the formulation and estimation of dynamic stochastic
general equilibrium (DSGE) models with a special emphasis on Bayesian methods. First, I …

This paper compares solution methods for dynamic equilibrium economies. We compute
and simulate the stochastic neoclassical growth model with leisure choice using first …

We study optimal monetary and fiscal policies in a New Keynesian model with
heterogeneous agents, incomplete markets, and nominal rigidities. Our approach uses small …

Environmental problems, such as climate change, have great uncertainties. Current
expectations are that uncertainties about climate change will be resolved quickly. We …

This paper compares different solution methods for computing the equilibrium of dynamic
stochastic general equilibrium (DSGE) models with recursive preferences such as those in …

We develop numerically stable and accurate stochastic simulation approaches for solving
dynamic economic models. First, instead of standard least‐squares approximation methods …

Computational methods are required to solve problems without closed-form solutions in
environmental and resource economics. Efficiency, stability, and accuracy are key elements …