Hi, I like to know if there is a vay to fix de measurement errors in a estimation without construct equations like this one?
Y_obs = y_t + measurement_error,
thanks,
drodrigu
Hi, I like to know if there is a vay to fix de measurement errors in a estimation without construct equations like this one?
Y_obs = y_t + measurement_error,
thanks,
drodrigu
Hi drodrigu,
what do you mean with “fix the measurement error”?
What I am triying to do is to make an estimation of the structural parameters given the variance of the measurament errors. That is, I dont want to estimate the variance of the measurament errors.
Hi,
that’s possible, but you still have to specify a measurement equation like the one you wrote above. You then treat the standard deviation of the measurement errors like any other non-estimated parameters. You specify their standard deviations as for all exogenous shocks in the
shocks;
end;
block. When you then omit the measurement errors in the
estimated_params;
end;
block Dynare will treat them/their standard deviation as given and will not estimate them.
Hi jpfeifer
Thanks for your response
Thanks
drodrigu