Maliar, Lilia; Maliar, Serguei - In: Quantitative economics : QE ; journal of the … 6 (2015) 1, pp. 1-47
We introduce a numerical algorithm for solving dynamic economic models that merges stochastic simulation and projection approaches: we use simulation to approximate the ergodic measure of the solution, we cover the support of the constructed ergodic measure with a fixed grid, and we use...