Policy Analysis

Robustness of Policies
The property of economic policies that their merits are relatively insensitive to the exact specification of the underlying model of the economy
Cost-Benefit Analysis - Definition and Meaning
An in-depth exploration of cost-benefit analysis, including definition, historical context, and its application in various economic frameworks.
Dynamic Stochastic General Equilibrium (DSGE)
Definition and meaning of dynamic stochastic general equilibrium (DSGE), a class of theoretical models used in macroeconomics.
Lucas Critique
The argument that government policies should consider how decision rules of private agents change with policy changes.
Natural Experiment
An examination of natural experiments, which leverage exogenous changes to estimate the effects of a policy or variable shift.
Regression Kink Design
A method of estimation designed to find the causal effect when a policy variable has discontinuities in the first derivative, or ‘kinks’.
Scenario
A set of assumptions on policy choices and the values of exogenous variables to determine future economic developments.
Side-effects
Explanation of unintended results of policies in economics, known as side-effects.