Error in Estimating the Model

This forum is closed. You can read the posts but cannot write. We have migrated the forum to a new location where you will have to reset your password.
Forum rules
This forum is closed. You can read the posts but cannot write. We have migrated the forum to a new location (https://forum.dynare.org) where you will have to reset your password.

Error in Estimating the Model

Postby msh855 » Sat Jun 10, 2017 9:21 pm

Hi

I have a medium scale NK model.
I have managed to solve it. I have the mod file attached.
But, I am also trying to estimate the model using Bayesian methods. Attached as well
I receive an error all the time, saying not enough parameters and cannot understand what I am missing.

Can someone help me wih the estimation. In particular, with the priors and in finding a steady state.

I am attaching the data I am usig.
Attachments
detrend_data.txt
data
(14.28 KiB) Downloaded 47 times
medium_scale_fiscal.mod
Solution
(7.41 KiB) Downloaded 41 times
medium_scale_fiscal_estimation.mod
Estimation
(6.31 KiB) Downloaded 44 times
msh855
 
Posts: 39
Joined: Thu Feb 23, 2012 8:32 pm

Re: Error in Estimating the Model

Postby jpfeifer » Sun Jun 11, 2017 8:31 am

1. The parameters
std_vt, r_bar, std_at, std_lt, std_it, std_pit, std_nt, std_wt,
R_bar, cy_bar, Iy_bar, gy_bar, Igy_bar, try_bar, wLy_bar, rky_bar, by_bar, tao_cbar, tao_kbar, tao_lbar, std_tc,
std_tl, std_tk, std_tr, std_ig

are not estimated, but also have not been set before estimation. Therefore, they are NaN.
2. I am not sure you are correctly reading in the data. The text-file you use does not work. I am attaching a mat-file that can be read in
3. I am pretty sure your observation equation is not correct. The concept of measured inflation in the data does not map into the model one (gross vs. net, demeaned or not). Please see Pfeifer(2013): "A Guide to Specifying Observation Equations for the Estimation of DSGE Models" https://sites.google.com/site/pfeiferecon/Pfeifer_2013_Observation_Equations.pdf.
Attachments
detrend_data.zip
(9.91 KiB) Downloaded 43 times
------------
Johannes Pfeifer
University of Cologne
https://sites.google.com/site/pfeiferecon/
jpfeifer
 
Posts: 6940
Joined: Sun Feb 21, 2010 4:02 pm
Location: Cologne, Germany


Return to Dynare help

Who is online

Users browsing this forum: No registered users and 4 guests