2 papers
econ.GN2025
Endogenous Persistence at the Effective Lower Bound
Chunbing Cai, Jordan Roulleau-Pasdeloup, Zhongxi Zheng
We develop a perfect foresight method to solve models with an interest rate lower bound constraint that nests OccBin/DynareOBC and \cite{Eggertsson2010}'s as well as \cite{Mertens2…
econ.GN2023
Simple Analytics of the Government Investment Multiplier
Chunbing Cai, Jordan Roulleau-Pasdeloup
What are the effects of investing in public infrastructure? We answer this question with a New Keynesian model. We recast the model as a Markov chain and develop a general solution…