Analyze DSGE models with MATLAB

Dynamic stochastic general equilibrium (DSGE) models facilitate macroeconomic analysis and policy-making in central banks, as well as government and non-governmental organizations (NGOs). DSGE models, such as the European Central Bank’s Smets-Wouters framework, perform time-based macroeconomic general equilibrium analysis of interactions between economic variables.

Common tasks for central bank economists to develop and analyze DSGE models and create fan charts include:

  • Running estimations and computing the steady state of nonlinear models
  • Applying Bayesian statistical techniques
  • Performing general equilibrium modeling

Popular tools include MATLAB, Optimization Toolbox, Statistics and Machine Learning Toolbox, Symbolic Math Toolbox, Dynare, and IRIS.

Examples and How To

Software Reference

See also: econometrics and economics, Monte Carlo simulation, analytical solution, time series regression, Systemic Risk