IRIS Toolbox Reference Manual

## simulate

Simulate VAR model

#### Syntax

    Outp = simulate(V,Inp,Range,...)

#### Input arguments

- `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`.

#### Output arguments

- `Outp` [ tseries ] - Simulated output data.

#### Options

- `'contributions='` [ `true` | `false` ] - Decompose the simulated paths into contributions of individual residuals.

- `'deviation='` [ `true` | `false` ] - Treat input and output data as deviations from unconditional mean.

- `'output='` [ `'auto'` | `'dbase'` | `'tseries'` ] - Format of output data.

#### Description

##### Backward simulation (backcast)

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.

#### Example

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