Help! how to calculate the area of a circle from time to from time

[jpfeifer]

1. See

Impulse response function with one shock only

@st348’s answer is only partially correct. At order=1 there is no interaction between shocks and the IRFs are generated by considering only one shock at a time. Thus, for each displayed IRF, all other shocks are set to 0. If you dislike the IRFs to other shocks being displayed, consult the manual on irf_shocks Things are more complicated at order>1 as there are now interactions between shocks. Dynare provides Generalized Impulse Response Functions (GIRFs) in this case where other shocks averag…

2. Usually, the approximation quality deteriorates with unit root shocks as you move away from the steady state. But you can try. In principle, unit roots satisfy the BK conditions.