Takashi TAMURA

Associate Professor
Department of Mathematical Sciences, Osaka Prefecture University

Research Theme

Establishing a Framework for Nonlinear Models in Macroeconomics

I will establish a mathematically rigorous framework for dynamic stochastic general equilibrium (DSGE) models, a kind of nonlinear models in macroeconomics. In the present macroeconomics, researchers usually linearize derived DSGE models around the steady point and analyze them. Such a technique can not apply to DSGE models with strong nonlinearity which arise in some cases. In this research project, I will establish mathematical and numerical methods for such models through stochastic control theory.