Two steady-states trasition path.Any example?
Posted: Thu Mar 04, 2010 1:45 amHi all,
I want to specify two different steady-states (i change only a steady-state value of an endogenous variable of the model) of the model and then dynare solve for the transition path. I also want to have some IRFs etc.
If it is possible i would like to do it with a specific rule so as to gradually converge to the new steady-state. Any ideas OR even better any example?
Thanks a lot.
Petros
I want to specify two different steady-states (i change only a steady-state value of an endogenous variable of the model) of the model and then dynare solve for the transition path. I also want to have some IRFs etc.
If it is possible i would like to do it with a specific rule so as to gradually converge to the new steady-state. Any ideas OR even better any example?
Thanks a lot.
Petros