Megamodel

The St. Louis model also seems to perform well without the large number of extraneous variables—oil prices, coal miners' wage rates, the stock of used cars, etc., all of which tend to contribute to the cumbersomeness of the megamodels.

There are, however, at least three practical considerations that suggest that splitting the task into two steps may be expedient. First, the megamodels may be just too complicated to solve analytically, […]