Unconditional versus conditional Welfare measure

[jpfeifer]

1. The convergence of the average over periods to the expected value. If it still fluctuates considerably, it has not yet converged.
2. You can use the simult_-function to compute welfare at any given point in time of your simulations. See e.g.

Two m files and two mod files

Hello Prof. Pfeifer, I have some rudimentary doubts, after reading your github “Born_Pfeifer_2018/Welfare”. For UNconditional welfare, outvalue=1/(1-betta)*oo_.mean(strmatch('Utility',var_list_ ,'exact')) -oo_.mean(strmatch('Recursive_natural_welfare_equivalent',var_list_,'exact')) You compute both Utility and Recursive_natural_welfare_equivalent via oo_.mean. For CONDitional Welfare, y_sim = simult_(M_,options_,initial_condition_states,oo_.dr,shock_matrix,options_.order); %simulat…