Expectation forecast error

Dynare help (legacy posts)
1

Dear Johannes,

In dynare, y(+1) represents Et[y(t+1)]. Since expectation forecast error for output is eta(t)=y(t)-E(t-1)[y(t)], should I define such forecast error in dynare as following:Ey=y(+1); eta=y-Ey(-1)

Thanks in advance,
Huan

2

Yes, that is the proper way with auxiliary variables. You could also use