Using arbitrary precision arithmetic to sharpen identification analysis for DSGE models

We introduce arbitrary precision arithmetic to resolve practical difficulties arising in the identification analysis of dynamic stochastic general equilibrium (DSGE) models. A three-step procedure is proposed address local and global empirical distance between The method applied monetary fiscal policy interaction models, revealing exact observational equivalence a small-scale model an indeterminate passive regime determinate regimes, near medium-scale model. Additionally, yields new insights for with news shocks, demonstrating that wage markup shocks can be replaced by unanticipated moving average resulting equivalence.