I encountered an issue while conducting a perfect foresight simulation of the RBC model. I have a sequence of an exogenous variable, TFP, and I want to simulate the changes in other endogenous variables.
Does anyone have a corresponding code to achieve this?
I haven’t encountered any programming errors, but I don’t know how to input the sequence of exogenous variables when conducting a perfect foresight simulation.
I have checked the manual but couldn’t find relevant instructions. I appreciate your help.
In the example you provided, x takes values only in specific periods. However, I would like to know how to run the simulation if I have a full sequence of x.
Defining x for each period using shocks seems a bit cumbersome. Is there a more efficient way ?