Prof. Pfeifer, is this the standard procedure to construct IRF using dynare? If not, why do we need to construct different IRFs than the one dynare provides?
now I see the explanation in your reference. I think it is because of pruning.
Prof. Pfeifer, is this the standard procedure to construct IRF using dynare? If not, why do we need to construct different IRFs than the one dynare provides?
now I see the explanation in your reference. I think it is because of pruning.
Dynare does GIRFs at the ergodic mean. What the literature on third-order perturbation has often done is use GIRFs at the stochastic steady state (sometimes called ergodic mean in the absence of shocks). Those are different concepts.
Can you post your completed version? I am having a ton of trouble isolating the error. I have only been doing dynare for a few weeks.