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RDP 2013-07: An Empirical BVAR-DSGE Model of the Australian Economy
Equation
C
t
+
P
1
,
t
P
t
(
I
1
,
t
+
I
2
,
t
)
+
B
t
+
S
t
B
t
f
+
M
t
=
R
t
−
1
B
t
−
1
π
t
+
W
1
,
t
L
1
,
t
+
W
2
,
t
L
2
,
t
+
P
1
,
t
P
t
r
1
,
t
K
1
,
t
−
1
+
P
2
,
t
P
t
r
2
,
t
K
2
,
t
−
1
+
Π
1
,
t
+
Π
2
,
t
+
R
t
−
1
f
S
t
B
t
−
1
f
π
t
Φ
(
h
t
−
1
,
e
u
t
−
1
r
p
)
+
M
t
−
1
π
t
+
T
t
.
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