Question about Using Noise Inputs in model
Posted: Thu Dec 18, 2008 1:21 pm
Hi All,
I am making a model which involves 2 process and a stock in between them. I need to introduce some noise in the system to show the variations of the process and see the effect on the stock inbetween.
I use the input generator to introduce noise in the model. I let the system start in equlibrium, introduce noise at some point of time and observe the behaviour of the system for the simulation. The stock always increases due to introduction of noise. I have observed different behaviour of the system based on these things:
1) When I use the same noise input for both the processes, the stock in model tends to faltten out at a particular level. (there are variations but around a specific level)
2) When I use different noise inpus for the two proceses. the stock never reaches an equilibrium.
In reality the two process will always have different variation that is why I made a new noise generater for the second process. But what I want to understand is why the system reached equilibrium in the first case?
I have taken care that the stock does not go below zero.
I am making a model which involves 2 process and a stock in between them. I need to introduce some noise in the system to show the variations of the process and see the effect on the stock inbetween.
I use the input generator to introduce noise in the model. I let the system start in equlibrium, introduce noise at some point of time and observe the behaviour of the system for the simulation. The stock always increases due to introduction of noise. I have observed different behaviour of the system based on these things:
1) When I use the same noise input for both the processes, the stock in model tends to faltten out at a particular level. (there are variations but around a specific level)
2) When I use different noise inpus for the two proceses. the stock never reaches an equilibrium.
In reality the two process will always have different variation that is why I made a new noise generater for the second process. But what I want to understand is why the system reached equilibrium in the first case?
I have taken care that the stock does not go below zero.