A new parametric frequency response algorithm is introduced to investigate linear and non-linear dynamic systems with time-varying parameters. In the new algorithm the time-varying parameters are regarded as additional inputs of the systems and the non-linear generalised frequency response functions for multi-input-single-output systems are then employed to obtain Zadeh's system functions from a differential equation representation. The parametric frequency response method reveals how the time-varying parameters affect the behaviour of the systems through a time-varying term. The new method can be applied to both linear and non-linear time-varying systems.