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Numerical Solution of Dynamic Economic Models

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Author Info
Manuel Santos (Centro de Investigacion Economica (CIE), Instituto Tecnologico Autonomo de Mexico (ITAM))
Abstract

This chapter is concerned with numerical simulation of dynamic economic models. We focus on some basic algorithms and study their accuracy and stability properties. This analysis is useful for an optimal implementation and testing of these procedures, as well as to evaluate their performance. Several examples are provided in order to illustrate the functioning and efficiency of these algorithms.

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Publisher Info
Paper provided by Centro de Investigacion Economica, ITAM in its series Working Papers with number 9804.

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Length: 92 pages
Date of creation: Mar 1998
Date of revision:
Handle: RePEc:cie:wpaper:9804

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Postal: Camino a Sta. Teresa 930, Mexico, D.F. 10700
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Web page: http://cie.itam.mx/
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Related research
Keywords: Dynamic economic model; value function; policy function; Euler equation; numerical algorithm; numerical solution; approximation error.;

Find related papers by JEL classification:
C61 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Optimization Techniques; Programming Models; Dynamic Analysis
C63 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Computational Techniques
C68 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Computable General Equilibrium Models

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  1. Felix Kubler & Karl Schmedders, 2000. "Incomplete Markets, Transitory Shocks and Welfare," Levine's Working Paper Archive 2133, David K. Levine. [Downloadable!]
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This page was last updated on 2009-10-29.


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