Transition path

Dynare help (legacy posts)
1

Hi;

I read in the guide that i could see the transition path from one steady state to another with a proper use of “initval” and “endval”, but i don’t understand what really means. I have a DSGE model and y have an “varexo_det” variable and i want it to change permanently. i want to see what happens in the trayectory of some endogeous variables if i change the exogenous deterministic variable permanenty in some point, specialy, how many periods of adjustment it takes for the variables to get to new steady state.

Thanks in advance.

Carlos

2

The discussion in the User Guide is for deterministic model. You want to add deterministic shifts to a stochastic model, this is an advanced issue not covered in the User Guide.

The only documentation so far is contained in the online manual.

Best,

Michel