Recursive Models of Dynamic Linear Economies

“Lars Peter Hansen, Co-Winner of the 2013 Nobel Prize in Economics”“Thomas J. Sargent, Winner of the 2011 Nobel Prize in Economics”“This book is chock full of results that will be useful to all interested in dynamic linear models, including material that will be novel to even the experienced macroeconomist. Buy it, read it, use it.”—Kenneth D. West, Journal of Economic Literature

Lars Peter Hansen is the David Rockefeller Distinguished Service Professor at the University of Chicago, where he is also the research director of the Becker Friedman Institute. Thomas J. Sargent is professor of economics at New York University and a senior fellow at the Hoover Institution at Stanford University. His books include Rational Expectations and Inflation and The Conquest of American Inflation (both Princeton). Hansen and Sargent are the coauthors of Robustness (Princeton). Sargent was awarded the Nobel Prize in economics in 2011 and Hansen received it in 2013.