Asking for help:DSGE model

[jpfeifer]

1. Indeed there is no problem with using annual data. But the devil is in the details. Do you want to use annual data to estimate a quarterly model? And is all data annual or do you want to use mixed frequency?
2. For the efficiency frontier, see

Policy frontier

Starting with the unstable version of 12/18/2016 (Dynare 4.5), the following code should work for your mod-file % make loop silent options_.nofunctions=1; options_.nocorr=1; options_.noprint=1; options_.irf=0; options_.silent_optimizer=1; options_.osr.opt_algo=9; % find position of variables in variable_weights y_pos=strmatch('y_hat',M_.endo_names,'exact'); pi_pos=strmatch('pi_hat',M_.endo_names,'exact'); % find position of variables in var_list_ y_pos_var_list_=strmatch('y_hat',var_list_,'e…