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aleqsandre_dvali Aleksandre Dvali|   Apr 05, 2021

How to model the economy using stochastic differential equations to predict inflation?

Due to the high volatility of inflation in our country, it is essential to have a reliable model for estimating expected inflation.
We have used various stochastic models with several macroparameters, but the results are not impressive. Now we want to try a system of differential equations covering most aspects of economics. So we get over 20 different variables linked to each other.

We don’t want to reinvent a new wheel. So, wonder if there is any work in this area. Any article, benchmarking, or finished code can help us a lot.

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