Likelihood evaluation of models with occasionally binding constraints
研究了动态随机一般均衡模型中偶尔有约束的模型的似然评估，发现求解近似误差和测量误差处理导致的似然误设会相互影响并放大。
Summary Applied researchers interested in estimating key parameters of dynamic stochastic general equilibrium models face an array of choices regarding numerical solution and estimation methods. We focus on the likelihood evaluation of models with occasionally binding constraints. We document how solution approximation errors and likelihood misspecification, related to the treatment of measurement errors, can interact and compound each other.