#111: Add the possibility to solve underdetermined models
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Reporter: sebastien | Owner:
Type: feature | Status: new
Priority: major | Milestone: 4.2
Component: Core M-files | Version:
Keywords: |
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When the Blanchard-Kahn conditions are not satisfied because the model is
underdetermined, it is possible to select a solution among the infinity of
solutions, provided we impose more restrictions.
We can implement the solution of Lubik and Schorfheide, “Testing for
Indeterminacy:An Application to U.S. Monetary Policy” (AER, 2004), see
http://ideas.repec.org/p/jhu/papers/480.html
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Ticket URL: <https://www.dynare.org/trac/ticket/111>
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