research
Precision performances of terminal conditions for short time horizons forward-looking systems.
- Publication date
- Publisher
Abstract
In this paper, we investigate both theoretically and empirically the numerical bias due to the truncation of structurally infinite time forward-Iooking models, by the means of various terminal conditions. We shed light on the difficulties of numerical control using the latter instrurnents, and recornrnend a prior investigation of the individual dynamics generated by each variable of the models under consideration.Expectations; Large scale models; Solution time horizons; Terminal conditions;