Date of Original Version
Abstract or Description
In univariate RE models of the form yt = AEtyt+1 + Cyt-1 + ut, every determinate solution is also the unique minimum state variable (MSV) solution. More generally, however, there are multivariate models of this form that have unique nonexplosive solutions that differ from their MSV solution.
Economics Letters , 84, 1, 55-60.