RDP 2010-02: Learning in an Estimated Small Open Economy Model Equation (5)

ν t s = ρ s ν t − 1 s + ε t s ε t s ∼ N ( 0 , σ s 2 ) MathType@MTEF@5@5@+= feaagKart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLn hiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr 4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9 vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=x fr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGceaqabeaacqaH9o GBdaqhaaWcbaGaamiDaaqaaiaadohaaaGccqGH9aqpcqaHbpGCdaWg aaWcbaGaam4CaaqabaGccqaH9oGBdaqhaaWcbaGaamiDaiabgkHiTi aaigdaaeaacaWGZbaaaOGaey4kaSIaeqyTdu2aa0baaSqaaiaadsha aeaacaWGZbaaaaGcbaGaeqyTdu2aa0baaSqaaiaadshaaeaacaWGZb aaaOGaeSipIOJaamOtamaabmaabaGaaGimaiaacYcacqaHdpWCdaqh aaWcbaGaam4CaaqaaiaaikdaaaaakiaawIcacaGLPaaaaaaa@5476@