RDP 2008-10: Solving Linear Rational Expectations Models with Predictable Structural Changes Equation (16)

y t = S 0 + S 1 y t − 1 + S 2 ε t + S y E t ∑ j = 1 ∞ M j − 1 Ω 22 − 1 Q 2 Ψ ε t + j MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaamyEamaaBa aaleaacaWG0baabeaakiabg2da9iaadofadaWgaaWcbaGaaGimaaqa baGccqGHRaWkcaWGtbWaaSbaaSqaaiaaigdaaeqaaOGaamyEamaaBa aaleaacaWG0bGaeyOeI0IaaGymaaqabaGccqGHRaWkcaWGtbWaaSba aSqaaiaaikdaaeqaaOGaeqyTdu2aaSbaaSqaaiaadshaaeqaaOGaey 4kaSIaam4uamaaBaaaleaacaWG5baabeaakiaabMeacaqGfbWaaSba aSqaaiaadshaaeqaaOWaaabCaeaacaWGnbWaaWbaaSqabeaacaWGQb GaeyOeI0IaaGymaaaakiabfM6axnaaDaaaleaacaaIYaGaaGOmaaqa aiabgkHiTiaaigdaaaGccaWGrbWaaSbaaSqaaiaaikdaaeqaaOGaeu iQdKLaeqyTdu2aaSbaaSqaaiaadshacqGHRaWkcaWGQbaabeaaaeaa caWGQbGaeyypa0JaaGymaaqaaiabg6HiLcqdcqGHris5aaaa@6375@