Heterogeneity in Macroeconomics: DSGE and Agent-Based Model Approach

The aim of this survey is to provide an introductory overview on the problem of heterogeneity in economics with a special attention to macroeconomics. Starting from the classical representative agent Real Business cycle model, we present several possible alternatives in order to introduce heterogeneity into a standard macroeconomics model. Finally, in the last section, we introduce the Agent-Based model as a possible way of dealing with heterogeneity and complexity.