Abstract
This paper discusses the use of simulation analysis in continuous time econometric models. Continuous time models are formulated as nonlinear systems of disequilibrium differential equations. They are linearized for estimation purposes (FIML). However simulation analysis is carried out with the original nonlinear system. Such an analysis provides useful insights on the properties of the model which are not always understandable from estimation and qualitative analysis. Examples derived from alternative financial liberalization regimes in the Italian economy are provided.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
