NBER WORKING PAPER SERIES MACROECONOMIC MODELING FOR MONETARY POLICY EVALUATION Jordi Gali Mark Gertler Working Paper 13542 http://www.nber.org/papers/w13542 NATIONAL BUREAU OF ECONOMIC RESEARCH 1050 Massachusetts Avenue Cambridge,MA 02138 October 2007 The authors thank Jim Hines,Andrei Shleifer,Jeremy Stein,and Timothy Taylor for helpful comments and suggestions on an earlier draft,and Steve Nicklas for excellent research assistance.Gali is grateful to CREA-Barcelona Economics and Ministerio de Educacion y Ciencia.Gertler thanks the NSF and the Guggenheim Foundation.The views expressed herein are those of the author(s)and do not necessarily reflect the views of the National Bureau of Economic Research. 2007 by Jordi Gali and Mark Gertler.All rights reserved.Short sections of text,not to exceed two paragraphs,may be quoted without explicit permission provided that full credit,including notice, is given to the source.NBER WORKING PAPER SERIES MACROECONOMIC MODELING FOR MONETARY POLICY EVALUATION Jordi Galí Mark Gertler Working Paper 13542 http://www.nber.org/papers/w13542 NATIONAL BUREAU OF ECONOMIC RESEARCH 1050 Massachusetts Avenue Cambridge, MA 02138 October 2007 The authors thank Jim Hines, Andrei Shleifer, Jeremy Stein, and Timothy Taylor for helpful comments and suggestions on an earlier draft, and Steve Nicklas for excellent research assistance. Galí is grateful to CREA-Barcelona Economics and Ministerio de Educación y Ciencia. Gertler thanks the NSF and the Guggenheim Foundation. The views expressed herein are those of the author(s) and do not necessarily reflect the views of the National Bureau of Economic Research. © 2007 by Jordi Galí and Mark Gertler. All rights reserved. Short sections of text, not to exceed two paragraphs, may be quoted without explicit permission provided that full credit, including © notice, is given to the source