This is TeX, Version 3.14159 (Web2C 7.3.1) (format=texsis 2004.3.6) 27 APR 2006 16:23 **model (model.tex TeXsis version 2.18 (21 April 2001) format preloaded. (/home/erm/tex/hoover.tex (/home/erm/tex/fonts.tex \ttglue=\skip30 ) \yesdouble=\count53 \savebase=\skip31 \notenumber=\count54 ) 1. RBC Model with Unit-Root Technology \openout9 = `model.toc'. \openout2 = `model.aux'. [1] 1.1. First-order conditions [2] 1.2. Log-linear computation [3] [4] 1.3. The Model's Moving Average [5] 2. VARs and the 2-Shock Version of the Model 2.1. The Decision Functions [6] Overfull \hbox (8.31657pt too wide) detected at line 582 [] [] \hbox(93.5+88.5)x391.46176 .\hbox(0.0+0.0)x0.0 .\glue 1.66663 .\vbox(93.5+88.5)x396.44508 ..\hbox(8.5+3.5)x396.44508 ...\glue(\tabskip) 0.0 ...\hbox(8.5+3.5)x72.73485 [] ...\glue(\tabskip) 0.0 ...\hbox(8.5+3.5)x323.71024, glue set 137.1212fil [] ...\glue(\tabskip) 0.0 ..\glue(\baselineskip) 3.91666 ..\hbox(9.58334+3.5)x396.44508 ...\glue(\tabskip) 0.0 ...\hbox(9.58334+3.5)x72.73485, glue set 72.73485fil [] ...\glue(\tabskip) 0.0 ...\hbox(9.58334+3.5)x323.71024, glue set 89.86195fil [] ...\glue(\tabskip) 0.0 ..\glue(\baselineskip) 5.0 ..\hbox(8.5+3.5)x396.44508 ...\glue(\tabskip) 0.0 ...\hbox(8.5+3.5)x72.73485, glue set 72.73485fil [] ...\glue(\tabskip) 0.0 ...\hbox(8.5+3.5)x323.71024, glue set 137.1212fil [] ...\glue(\tabskip) 0.0 ..etc. .\glue 1.66663 [7] 2.2. The Model's Moving Average [8] [9] 2.3. Special Property of the $D$'s 2.4. VAR Coefficients [10] 2.5. Proposition 1: Model has infinite-order VAR [11] 2.6. Blanchard-Quah Identification [12] [13] [14] 2.6.1. Sign convention on $A_0(1,1)$ 2.6.2. Sign convention on $\mathaccent "7016 A(1,1)$ 2.6.3. Full solution [15] 2.6.4. Cholesky decomposition 2.7. Proposition 2: OLS Results [16] [17] [18] 2.8. The Propositions for Two Special Cases 2.8.1. Proposition 3a: No capital in the model [19] 2.8.2. Proposition 3b: Only one shock [20] [21] [22] 3. VAR versus VARMA [23] ) Output written on model.dvi (23 pages, 86852 bytes).