New Keynesian Basic Model and System Dynamics

시스템 다이내믹스와 새케인즈주의 모형

This article explores the dynamic characteristics of the basic new Keynesian model which is widely used in lots of the central banks in each country and educated for the advanced macroeconomics at the graduate level in economics. System dynamics can give help to reveal the dynamic states of the basic model. In this article, the particular assumptions or determination with regard to the basic model such as jump variables and determinacy or indeterminacy of the model, which make lots of students and nonspecialists difficult to understand the model, can be easily found by help of the computer-aided simulation of system dynamics and some further related studies.