IRF graph and relationGDP=C+I+G+X-M


I have one question with regard to irf functions. I plot responses of GDP, C, I, G, X, M. Why does not hold relation GDP=C+I+G+X-M on irf grapf??

Thanks for answer.


you have to multiply C, I and G by their steady-state shares in output and then add them. then it will equal output.