advantages of microfoundations: Microfoundations provides a modelling structure where data may not be very informative. Microfoundations avoids the Lucas...

New Keynesians adopted rational expectations and built models with microfoundations of sticky prices that suggested recessions could still be explained...

This is in contrast with its rival new Keynesian school that uses microfoundations, such as price stickiness and imperfect competition, to generate macroeconomic...

Liquidity trap Measures of national income and output GDP GNI NNI Microfoundations Money Endogenous Money creation Demand for money Liquidity preference...

stochastic general equilibrium models that are explicitly based on microfoundations, often distinguish households, firms, and governments or central banks...

constraints) that are assumed to govern individual behavior: so-called "microfoundations." If these models can account for observed empirical regularities,...

Consciousness Studies, 5 (1) p 72. Tsoukalas, I. (2007). Exploring the Microfoundations of Group Consciousness. Culture and Psychology, 13(1), 39-81. Ernst...

depend primarily on "the state of long-term expectations." Those are microfoundations. Keynes, John M. (1936). The General Theory of Employment, Interest...

Liquidity trap Measures of national income and output GDP GNI NNI Microfoundations Money Endogenous Money creation Demand for money Liquidity preference...

classical macroeconomics. Both sought to rebuild macroeconomics using microfoundations to explain macroeconomic phenomena using microeconomics. Over the course...