Dear forum,
the attached mod file contains a basic New Keynesian Model with monetary and technology shocks. It's based on the 2008 textbook of Jordi Galí.
Money demand is ad-hoc.
The central bank follows the Taylor rule.
The shocks follow AR(1) processes.
I compared my simulations against those of Galí and am confident that the model should be all right.
If you find any trouble, please let me know.
Regards,
Johannes