Models
Sticky prices, inflation dynamics, and a Taylor rule make NK the workhorse for monetary-policy transmission and the cleanest first route for curated observables. The route stays structure-first: equilibrium conditions, shocks, policy rules, curated observables, then experiments.
Models / Route
Use the route map to review the structure and planned readout while the interactive layer stays guided.
HelpThe route begins from the model template itself, with the observables layer arriving later in the workflow.
The NK route is a guided lab. It walks through observables, priors, and readout logic.
The output layer is for impulse responses, decomposition, and policy comparison, not for generic time-series diagnostics.
DSGE route
New Keynesian estimation is the first serious observables route because sticky prices, inflation dynamics, and the Taylor rule connect directly to policy questions that reduced-form forecasts cannot answer on their own.
Data-Driven Models remain the cleaner home for unrestricted baseline prediction. Structural policy transmission, shock interpretation, and medium-run narrative carry more weight here.
Why this route exists
Sticky prices, inflation dynamics, and a Taylor rule make NK the workhorse for monetary-policy transmission and the cleanest first route for curated observables.
Nominal rigidities and policy credibility sit at the center here, with the real-shock benchmark in the background.
Stage 1
The small closed-economy NK core fixes the structural question first. The data mode only decides whether that structure is learned through a demo economy or disciplined by a curated observable bundle.
Template
Small closed-economy New Keynesian template
The lab stays compact on purpose. Inflation, activity, and the policy rate carry the measurement burden first; richer observables only enter after the baseline system stays interpretable.
Data mode
Estimation logic
Curated observables discipline the model. They do not turn DSGE into a raw series picker or a reduced-form forecast surface.
