On the fit of DSGE models
| Authors | |
|---|---|
| Year of publication | 2010 |
| Type | Article in Proceedings |
| Conference | MEKON '10 |
| MU Faculty or unit | |
| Citation | |
| Field | Economy |
| Keywords | Global Sensitivity Analysis;model fit;posterior odds;forecast quality;parameter importance |
| Attached files | |
| Description | The goal of the paper is to assess data fit of Slanicay and Vašíček’s (2009) model variants with different criteria than posterior odds and to compare the results to findings of Slanicay and Vašíček (2009), where posterior odds were used. Conclusions of this article are following: Habit persistence in consumption is found important and price indexation unimportant as in Slanicay and Vašíček (2009). Model variants with foreign economy modeled with AR1 processes perform always better than structurally modeled foreign economy. This finding is in contradiction to the results of Slanicay and Vašíček (2009). |
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