No, unless technology shocks account for virtually all of the fluctuations in output.
Bibliographical noteFunding Information:
The authors thank the editor, Robert King, and the referees for very helpful comments, Kathy Rolfe and Joan Gieseke for excellent editorial assistance, and the National Science Foundation for financial support. The views expressed herein are those of the authors and not necessarily those of the Federal Reserve Bank of Minneapolis or the Federal Reserve System.
- Impulse response
- Real business cycle
- Technology shocks
- Vector autoregressions