Outp = simulate(V,Inp,Range,...)
V [ VAR ] - VAR object that will be simulated.
Inp [ tseries | struct ] - Input data from which the initial condtions and residuals will be taken.
Range [ numeric ] - Simulation range; must not refer to Inf.
Outp [ tseries ] - Simulated output data.'contributions=' [ true | false ] - Decompose the simulated paths into the contributions of individual residuals, initial condition, the constant, and exogenous inputs; see Description.
'deviation=' [ true | false ] - Treat input and output data as deviations from unconditional mean.
'output=' [ 'auto' | 'dbase' | 'tseries' ] - Format of output data.
If the Range is a vector of decreasing dates, the simulation is performed backward. The VAR object is first converted to its backward representation using the function backward, and then the data are simulated from the latest date to the earliest date.
With the option 'contributions=' true, the output database contains Ne+2 columns for each variable, where Ne is the number of residuals. The first Ne columns are the contributions of the individual shocks, the (Ne+1)-th column is the contribution of initial condition and the constant, and the last, (Ne+2)-th columns is the contribution of exogenous inputs.
Contribution simulations can be only run on VAR objects with one parameterization.