A cluster-grid projection method
Subtitle: solving problems with high dimensionality
By: Kenneth L. Judd, Lilia Maliar, Serguei Maliar
Contributors: Maliar, Lilia; Maliar, Serguei; National Bureau of Economic Research
Series: NBER working paper series -- working paper 15965; Working paper series (National Bureau of Economic Research : Online) -- working paper no. 15965.
Publisher: National Bureau of Economic Research
Published: 2010
Place of publication: Cambridge, MA
Language: eng
Format: [electronic resource] :
Description: "We develop a projection method that can solve dynamic economic models with a large number of state variables.  A distinctive feature of our method is that it operates on the ergodic set realized in equilibrium: we simulate a model, distinguish clusters on simulated series and use the clusters' centers as a grid for projections.  Making the grid endogenous to the model allows us to avoid costs associated with finding a solution in areas of state space that are never visited in equilibrium.  On a standard desktop computer, we calculate linear and quadratic solutions to a multi-country growth model with up to 400 and 80 state variables, respectively.  Our solutions are global, and their accuracy does not rapidly decline away from steady state"--National Bureau of Economic Research web site.
Notes: Title from PDF file as viewed on 5/11/2010.

Includes bibliographical references.

Also available in print.

System requirements: Adobe Acrobat Reader.

Mode of access: World Wide Web.