One of the key economic modelling tools
Updated July 30, 2019

One of the key economic modelling tools

Jevgenijs Steinbuks | TrustRadius Reviewer
Score 10 out of 10
Vetted Review
Verified User

Overall Satisfaction with MATLAB

MATLAB is primarily used by the Macroeconomists in the Research Department and Macroeconomics and Fiscal Management Teams to solve DSGE and other numerical models, and sometimes do time-series econometric analysis.
  • Excellent treatment of linear algebra and matrix manipulation
  • Easy and clear syntax
  • User friendly interface
  • Weak treatment of non-linear problems
  • Slow compared to key competitors such as Julia
  • Licensing issues make it difficult to work with models and large datasets that require parallelization
  • MATLAB helped with the development of better models assisting decision support in lending.
MATLAB has a more simple and user friendly syntax compared to its main competitors, and is perfect for solving small models, but it limits on parallelization and weak handling of nonlinear problems make it an obsolete tool for many serious economic applications.
MATLAB is very good for solving any linear models. Also good for solving linearized DSGEs where toolboxes such as Dynare come very handy. It has some nice toolboxes for time-series econometrics, Kalman filtering, and Bayesian estimation.