The Possibility of the Macroeconometric Model as a Teaching Tool : By Following the Analysis Procedure of the Dynamic ADAS Model in the Mankiw’s Textbook

The Annual Macroeconometric Model of the Japanese Economy which consists of about 70equations has been developed, through an approach to the decision of interaction between all variables in this model, securing the accountability of impact simulation. This paper tries to clarify that the compact model which consists of the 9 equations from this Macroeconometric Model: GDP? real interest rate? nominal interest rate? expected inflation? nextterm inflation? potential GDP? labor productivity? expected wage growth rate? and nextterm wage growth rate? also has the same role of the teaching tools as the dynamic ADAS model, by following the analysis procedure in the Mankiw\u27s Macro Economics textbook