Add (preprocessor) option for Fernandez-Villaverde et al (2012) type of IRFs in stoch_simul
A frequent question is how to generate IRFs at order=3 that look like the ones in Fernandez-Villaverde et al (2012) "Risk matters". I will add a corresponding code over the next two weeks. But a preprocessor option would still be needed. There are two issues that need to be discussed.
- What should be the naming of the option? I would suggest something like
ergodic_mean_irfas the IRFs are computed relative to the ergodic mean.
- Should we allow for flexibility in the number of periods over which to compute the ergodic mean? If yes, we would need another option