14.462 | Spring 2007 | Graduate

Advanced Macroeconomics II

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Graph of a persistent shock. At long times, financial frictions approaches frictionless.
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Graph of a persistent shock with ρ = 0.5. Learn more in Countercyclical Liquidity Premia in lecture notes. (Figure courtesy of Prof. Lorenzoni.)
Graph of a persistent shock. At long times, financial frictions approaches frictionless.

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Spring 2007
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