Question
Posted: Mon Apr 20, 2015 2:20 pm
Hello,
I have simulated a DSGE for the same time and Dynare shows me a result I cannot fully understand.
In the correlation matrix, it shows me there is a perfect correlation between two variables, but however, it still works. Shouldn't Dynare tell me I have a singular matrix?
I have simulated a DSGE for the same time and Dynare shows me a result I cannot fully understand.
In the correlation matrix, it shows me there is a perfect correlation between two variables, but however, it still works. Shouldn't Dynare tell me I have a singular matrix?