RDP 2011-04: Assessing Some Models of the Impact of Financial Stress Upon Business Cycles Equation (3)

E t r ˜ t + 1 K = 1 − δ R ¯ K + ( 1 − δ ) E t q ˜ t + 1 + R ¯ K R ¯ K + ( 1 − δ ) E t m p k ˜ t + 1 − q ˜ t MathType@MTEF@5@5@+=feaagCart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLnhiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=xfr=xb9adbaqaaeGaciGaaiaabeqaamaabaabaaGcbaGaamyramaaBaaaleaacaWG0baabeaakiqadkhagaacamaaDaaaleaacaWG0bGaey4kaSIaaGymaaqaaiaadUeaaaGccqGH9aqpdaWcaaqaaiaaigdacqGHsislcqaH0oazaeaaceWGsbGbaebadaWgaaWcbaGaam4saaqabaGccqGHRaWkdaqadaqaaiaaigdacqGHsislcqaH0oazaiaawIcacaGLPaaaaaGaamyramaaBaaaleaacaWG0baabeaakiqadghagaacamaaBaaaleaacaWG0bGaey4kaSIaaGymaaqabaGccqGHRaWkdaWcaaqaaiqadkfagaqeamaaBaaaleaacaWGlbaabeaaaOqaaiqadkfagaqeamaaBaaaleaacaWGlbaabeaakiabgUcaRmaabmaabaGaaGymaiabgkHiTiabes7aKbGaayjkaiaawMcaaaaacaWGfbWaaSbaaSqaaiaadshaaeqaaOWaaacaaeaacaWGTbGaamiCaiaadUgaaiaawoWaamaaBaaaleaacaWG0bGaey4kaSIaaGymaaqabaGccqGHsislceWGXbGbaGaadaWgaaWcbaGaamiDaaqabaaaaa@6473@