Title :
Analysis on China Business Cycle: A DSGE Approach
Author_Institution :
Sch. of Econ., Xiamen Univ., Xiamen, China
Abstract :
This paper estimates and simulates a sticky-price dynamic stochastic general-equilibrium model with a financial accelerator, to find out the relative importance of sources inducing China economy fluctuation. The estimation and simulation results provide quantitative evidence that supply factors are the main source. The importance of demand side factors for output fluctuation is relatively minor, so authorities should pay more attention on supply capacity.
Keywords :
autoregressive processes; economic cycles; pricing; China business cycle; China economy fluctuation; DSGE approach; autoregressive processes; demand side factors; financial accelerator; output fluctuation; sticky-price dynamic stochastic general-equilibrium model; supply factors; Economic indicators; Electric shock; Estimation; Investments; Production; Business cycles; DSGE Modelling; Financial accelerator; Sticky prices;
Conference_Titel :
Business Intelligence and Financial Engineering (BIFE), 2012 Fifth International Conference on
Conference_Location :
Lanzhou
Print_ISBN :
978-1-4673-2092-4
DOI :
10.1109/BIFE.2012.82