I have one question related to forecasting variance and historical decompositions in DSGE model
One of the different points btw these two methods is that forecasting variance decomposition is a out-of-sample based technique, whereas historical decomposition is a in-sample technique. So my question is that are the finding from this two different approaches exactly identical to each other? For example, in terms of forecasting variance decomposition, I find that technology is main driver of output fluctuation, then this finding would be identical to that by using historical decomposition?
I am looking forward to your answer soon