8  Smets, F. and Wouters, R. (2003): “An estimated Stochastic Dynamic General Equilibrium Model of the Euro Area” Journal of the European Economic Association, 1(5), 1123–1175. 9  Christoffel, K., Coenen, G. and Warne, A. (2008): “The New Area-Wide Model of the Euro Area: A MicroFounded Open-Economy Model for Forecasting and Policy Analysis”, ECB Working Paper No 944.
2  BIS central bankers’ speeches  fiscal policy). Similarly, the Christiano-Motto-Rostagno10 model represents a valuable extension of the canonical framework to explore and interpret financial linkages. In recent years, at the ECB and comparable institutions, country modelling has risen in prominence.