DSGE Models


This section presents notes on DSGE models, covering both closed and open economy frameworks, and incorporating real, nominal, and financial frictions. It also provides a detailed explanation of how to derive the steady state, a fundamental — and often challenging — step in this type of model. Most of the models presented here are based on classical contributions by widely recognized authors in the macroeconomic literature. These notes are not intended to replace excellent textbooks or reference articles; rather, they serve as a practical guide designed to facilitate the understanding and application of these theoretical frameworks.


These notes were prepared with the aim of deepening my understanding of each model, organizing and systematizing my working codes, and, above all, developing my own modeling frameworks. I hope they prove useful, particularly for first-year PhD students and for macroeconomic policymakers interested in building and using medium- and large-scale models for policy analysis and evaluation.


Any comments, corrections, or identification of errors are always welcome, as they contribute to the continuous improvement of the development and presentation of the models. alfredovillca569@gmail.com



I. Real Business Cycle Models with Real Rigidities 


II. Neo Keynesian Models


III. Fiscal Policy


IV. Money and Monetary Policy


V. Macrofinance