Solving the model

The G-Cubed model contains agents with rational expectations. This implies that current variables depend on expected future variables (or co-state variables). and future variables depend on inherited variables (or state variables). Thus the entire time path of the model is detemined simultaneously. This problem is called a two point boundary value probem and presented a considerable numerical challenge..

An Overview of the Solution algorithm is contains in this file

The actual sequence of steps as well as key inputs are contains in this flowchart