Parameter variation causes a disappearence of IRFs

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Parameter variation causes a disappearence of IRFs

Postby masterth » Fri Jan 23, 2015 10:46 am

Hello,

I'm simulating a standard dsge model. It runs properly and there are no problems.

But I have to compare the results if some parameters are fluctuating. I set the parameter close to the extrem values they could be.
For example a parameter measuring the speed of an adjustment process [0 no adjustment; 1 permanent adjustment].
If I run the model with values close to 0 or 1 I receive only a steady state and no Impulse responce functions. Why?
masterth
 
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Re: Parameter variation causes a disappearence of IRFs

Postby jpfeifer » Sat Jan 24, 2015 8:45 am

I would need to see the code.
------------
Johannes Pfeifer
University of Cologne
https://sites.google.com/site/pfeiferecon/
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Re: Parameter variation causes a disappearence of IRFs

Postby masterth » Wed Jan 28, 2015 8:21 am

Here a the files.
For GAMMAE=1 and GAMMAS =1, there no irf plotted. The same for RHOD, RHOE, RHOS =1.
Attachments
initmod_steadystate.m
(5.48 KiB) Downloaded 36 times
initmod.mod
(12.31 KiB) Downloaded 36 times
masterth
 
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Re: Parameter variation causes a disappearence of IRFs

Postby jpfeifer » Wed Jan 28, 2015 9:06 am

With noprint, you suppress all error message. With most of your parameter combinations, the Blanchard-Kahn conditions are not satisfied.
------------
Johannes Pfeifer
University of Cologne
https://sites.google.com/site/pfeiferecon/
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