Reds
Hello ...
I'm an undegraduate student in economics and I'm beginning the study of perturbation methods. It's very hard for me to undesrtand how i can calculate the transition matrix in the Anderson and Moore Agorithm. For example how does they calculate it in a simple Money Demand Model?
Then if I want to solve a Dsge model with more than two state variable which of the perturbation methods is advisable?
I will be very gratefull to you for any kind of answer.
Thanks...!
I'm an undegraduate student in economics and I'm beginning the study of perturbation methods. It's very hard for me to undesrtand how i can calculate the transition matrix in the Anderson and Moore Agorithm. For example how does they calculate it in a simple Money Demand Model?
Then if I want to solve a Dsge model with more than two state variable which of the perturbation methods is advisable?
I will be very gratefull to you for any kind of answer.
Thanks...!