{
  "title": "IMF Staff Papers, Volume 55, No. 2",
  "publication": "IMF Staff Papers, June 18, 2008",
  "sourceUrl": "https://www.imf.org/en/publications/imf-staff-papers/issues/2016/12/31/imf-staff-papers-volume-55-no-21719",
  "canonical": "https://www.imf.org/en/publications/imf-staff-papers/issues/2016/12/31/imf-staff-papers-volume-55-no-21719",
  "overlayPath": "/en/publications/imf-staff-papers/issues/2016/12/31/imf-staff-papers-volume-55-no-21719/index.md",
  "summary": "This special issue is devoted to the Global Economy Model (GEM), a dynamic stochastic general equilibrium models widely used by the IMF and central banks worldwide to study issues that cannot be adequately addressed with reduced-form econometric models or an earlier generation of macromodels whose d",
  "sections": [
    {
      "heading": "Overview and scope",
      "content": "- Special issue devoted to the Global Economy Model (GEM), a dynamic stochastic general equilibrium model.\n- GEM is described as widely used by the IMF and central banks worldwide to study issues not adequately addressed with reduced-form econometric models or earlier macromodels whose dynamic equations lacked strong choice-theoretic foundations.\n- Composition of the issue:\n  - Douglas Laxton discusses the GEM philosophy and explains how modelers find solutions to systems of nonlinear equations.\n  - Paolo Pesenti lays out the structure of the model in detail, explaining derivation of GEM equations from individual and firm-level self-interested maximizing behavior and interaction of individual decisions with government policy rules.\n  - Six remaining papers present specific applications of the GEM structure to a variety of real problems and policy issues."
    },
    {
      "heading": "Key thematic findings and model features",
      "content": "- Model class and purpose:\n  - Dynamic stochastic general equilibrium framework (GEM).\n  - Emphasizes choice-theoretic foundations for dynamic equations.\n- Solution approach:\n  - Focus on solving systems of nonlinear equations (as discussed by Douglas Laxton).\n- Microfoundations:\n  - Equations are derived from individual and firm-level self-interested maximizing behavior (as presented by Paolo Pesenti).\n- Policy interaction:\n  - Individual decisions interact with government policy rules within the GEM structure.\n- Applications:\n  - Six applied papers use GEM to study a variety of real problems and policy issues (topics not enumerated beyond this description in the source)."
    },
    {
      "heading": "Subjects and keywords",
      "content": "- Subject areas listed:\n  - Consumption, Energy prices, Inflation, Labor, National accounts, Oil prices, Prices\n- Keywords included:\n  - adjustment cost, Asia and Pacific, Central and Eastern Europe, Consumption, energy price, Energy prices, Europe, Global, Inflation, NM economy, nominal interest rate, oil price, Oil prices, oil-importing region, PLPT, SP\n\n---\n\n\nSource: https://www.imf.org/en/publications/imf-staff-papers/issues/2016/12/31/imf-staff-papers-volume-55-no-21719"
    }
  ],
  "bullets": [
    "[Markdown version](/en/publications/imf-staff-papers/issues/2016/12/31/imf-staff-papers-volume-55-no-21719/index.md)",
    "[Structured JSON version](/en/publications/imf-staff-papers/issues/2016/12/31/imf-staff-papers-volume-55-no-21719/index.json)",
    "[Bundle manifest](/en/publications/imf-staff-papers/issues/2016/12/31/imf-staff-papers-volume-55-no-21719/bundle-manifest.json)",
    "Published: June 18, 2008",
    "Series: IMF Staff Papers",
    "Volume: 55",
    "DOI: https://doi.org/10.5089/9781589067233.024",
    "Special issue devoted to the Global Economy Model (GEM), a dynamic stochastic general equilibrium model.",
    "GEM is described as widely used by the IMF and central banks worldwide to study issues not adequately addressed with reduced-form econometric models or earlier macromodels whose dynamic equations lacked strong choice-theoretic foundations.",
    "Composition of the issue:",
    "Model class and purpose:",
    "Solution approach:",
    "Microfoundations:",
    "Policy interaction:",
    "Applications:",
    "Subject areas listed:",
    "Keywords included:"
  ],
  "alternates": {
    "markdown": "/en/publications/imf-staff-papers/issues/2016/12/31/imf-staff-papers-volume-55-no-21719/index.md",
    "json": "/en/publications/imf-staff-papers/issues/2016/12/31/imf-staff-papers-volume-55-no-21719/index.json",
    "bundleManifest": "/en/publications/imf-staff-papers/issues/2016/12/31/imf-staff-papers-volume-55-no-21719/bundle-manifest.json"
  },
  "generatedAtUtc": "2026-09-21T15:06:36.231Z"
}