First thank you very much for your previous help and guidance. I am grateful.
Regarding my previous DSGE model with 24 structural variables, when I presented the paper, some people that all my 24 structural shocks need to have economic meaning. I am very confused, I have defined the meaning of the structural shocks through the specification of the DSGE model, why my paper still lacks economic interpretation of DSGE structural shocks? Does it mean that each structural shock needs to appear in a minimum number of equations?
Thank you and look forward to hearing from you.
You should have asked you audience what they mean. Usually, all shocks in a DSGE model are structural. The only critique I am familiar with is that “shocks” like preference shocks are maybe not truly structural. We simply ascribe them to one of the basic building blocks, because we do not understand them.
Thank you very much. How can I demonstrate the shocks in the DSGE model are structural? Please give me some guidance, I cannot find that audience anymore, I really need people to tell me and no one around can help me.
There is no such demonstration. You built your model to have structural shocks. Thus, you should be able to convince your audience that what you have been doing is correct.