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Mathematical descriptions of large-scale static properties like equilibria are patently not the same as, say, dynamic discrete-time simulations with evolving st
by pekk 11y ago
Mathematical descriptions of large-scale static properties like equilibria are patently not the same as, say, dynamic discrete-time simulations with evolving state.
I don't think we have anything satisfyingly like the latter for economics, but to claim that there is no fundamental difference is just inaccurate.
- overpaidgoogler 11y agoDSGE models are precisely "dynamic discrete-time simulations with evolving state" and they are the workhorse of modern macro.