• ShockDecomposition

Shock decomposition

A new function computes and displays shock decomposition according to the model for a given sample.

Syntax

shock_decomposition;

This instruction must be given after an estimation statement. If only the posterior mode (or maximum likelihood) is computed, the estimated parameters are set to the corresponding values. If Metropolis is run (or load_mh_file option is used) the estimated parameters are set to the posterior mean.

To be added

• We need to add a mechanism to be able to group together different exogenous variables and give them an appropriate label for the decomposition graph.
• The ability to compute shock decomposition for calibrated models.