Reading IRF

hi Group,
in the dynare output for impulse responses, if the variable X jumps to 0.02 after a shock, how does one interpret the result…

a. X responds with a 2 per cent deviation from steady state

b. X responds with a 0.02 per cent deviation from steady state.


Can anyone reply to this question please? I have the same question and I think this forum will be more useful if experienced people provide some answers to forum questions rather than just looking at them and copying the relevant mod files.


I hope this previous topic answers your question

A question about IRF *

NB: * new url