HARK.dcegm¶
Functions for working with the discretecontinuous EGM (DCEGM) algorithm as described in “The endogenous grid method for discretecontinuous dynamic choice models with (or without) taste shocks” by Iskhakov et al. (2016) [https://doi.org/10.3982/QE643 and ijrsDCEGM2017 in our Zotero]
Functions
calcMultilineEnvelope (M, C, V_T, commonM) 
Do the envelope step of the DCEGM algorithm. 
calcSegments (x, v) 
Find index vectors rise and fall such that rise holds the indeces i such that x[i+1]>x[i] and fall holds indeces j such that either  x[j+1] < x[j] or,  x[j]>x[j1] and v[j]<v[j1]. 
main () 

HARK.dcegm.
calcMultilineEnvelope
(M, C, V_T, commonM)¶ Do the envelope step of the DCEGM algorithm. Takes in market ressources, consumption levels, and inverse values from the EGM step. These represent (m, c) pairs that solve the necessary first order conditions. This function calculates the optimal (m, c, v_t) pairs on the commonM grid.
Parameters:  M : np.array
market ressources from EGM step
 C : np.array
consumption from EGM step
 V_T : np.array
transformed values at the EGM grid
 commonM : np.array
common grid to do upper envelope calculations on

HARK.dcegm.
calcSegments
(x, v)¶ Find index vectors rise and fall such that rise holds the indeces i such that x[i+1]>x[i] and fall holds indeces j such that either  x[j+1] < x[j] or,  x[j]>x[j1] and v[j]<v[j1].
The vectors are essential to the DCEGM algorithm, as they definite the relevant intervals to be used to construct the upper envelope of potential solutions to the (necessary) first order conditions.
Parameters:  x : np.ndarray
array of points where v is evaluated
 v : np.ndarray
array of values of some function of x
Returns:  rise : np.ndarray
see description above
 fall : np.ndarray
see description above