Julián Ramajo

Feb 3, 2024 | onlinelibrary.wiley.com | Miguel Marquez |Julián Ramajo

1 INTRODUCTION In their introduction to a collection of articles addressing the Rebuilding Macroeconomic Theory Project, Vines and Wills (2018) noted that four main changes to the core model were recommended. These were the needs to (1) emphasize financial frictions; (2) place a limit on the operation of rational expectations; (3) devise more appropriate microfoundations and (4) include heterogenous agents.