RDP 9306: Inventories and the Business Cycle
Equation (6)
E
[
I
t
|
Ω
t
]
=
α
+
λ
I
t
−
1
−
λ
(
ξ
S
t
−
u
t
)
+
(
1
−
λ
ξ
)
∑
i
=
1
∞
[
λ
1
+
θ
]
i
E
[
S
t
+
i
|
Ω
t
]
−
(
1
−
λ
)
∑
i
=
1
∞
[
λ
1
+
θ
]
i
E
[
u
t
+
i
|
Ω
t
]
w
h
e
r
e
ξ
=
γ
−
β
δ
γ
MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGceaqabeaacaWGfb WaamWaaeaacaWGjbWaaSbaaSqaaiaadshaaeqaamXvP5wqonvsaeHb lvNBZrhBLjhitnMCPbhDaGqbaOGae8hFaWNaeuyQdC1aaSbaaSqaai aadshaaeqaaaGccaGLBbGaayzxaaGaeyypa0JaeqySdeMaey4kaSIa eq4UdWMaamysamaaBaaaleaacaWG0bGaeyOeI0IaaGymaaqabaGccq GHsislcqaH7oaBdaqadaqaaiabe67a4jaadofadaWgaaWcbaGaamiD aaqabaGccqGHsislcaWG1bWaaSbaaSqaaiaadshaaeqaaaGccaGLOa GaayzkaaGaey4kaSYaaeWaaeaacaaIXaGaeyOeI0Iaeq4UdWMaeqOV dGhacaGLOaGaayzkaaWaaabCaeaadaWadaqaamaalaaabaGaeq4UdW gabaGaaGymaiabgUcaRiabeI7aXbaaaiaawUfacaGLDbaaaSqaaiaa dMgacqGH9aqpcaaIXaaabaGaeyOhIukaniabggHiLdGcdaahaaWcbe qaaiaadMgaaaGccaWGfbWaamWaaeaacaWGtbWaaSbaaSqaaiaadsha cqGHsislcaaIXaaabeaakiab=Xha8jabfM6axnaaBaaaleaacaWG0b aabeaaaOGaay5waiaaw2faaiabgkHiTaqaauaabeqabmaaaeaadaqa daqaaiaaigdacqGHsislcqaH7oaBaiaawIcacaGLPaaadaaeWbqaam aadmaabaWaaSaaaeaacqaH7oaBaeaacaaIXaGaey4kaSIaeqiUdeha aaGaay5waiaaw2faaaWcbaGaamyAaiabg2da9iaaigdaaeaacqGHEi sPa0GaeyyeIuoakmaaCaaaleqabaGaamyAaaaakiaadweadaWadaqa aiaadwhadaWgaaWcbaGaamiDaiabgUcaRiaadMgaaeqaaOGae8hFaW NaeuyQdC1aaSbaaSqaaiaadshaaeqaaaGccaGLBbGaayzxaaaabaGa am4DaiaadIgacaWGLbGaamOCaiaadwgaaeaacqaH+oaEcqGH9aqpda Wcaaqaaiabeo7aNjabgkHiTiabek7aIjabes7aKbqaaiabeo7aNbaa aaaaaaa@AA98@