I need some help in creating my dataset for the bayesian estimation.
I have my log-linearized model (by hand) with the steady-state values of all the variables all equals to zero (as log-deviations).
When I have to create my dataset for the bayesian estimation (using e.g. GDP and Consumption etc… Time Series) in which format I have to put my data in the dataset? As log-deviations from their mean or just as values (as time series is basically) ?
Thank you in advance for any advice,