I want to calibrate my model to steady state ratios, I’ve been doing it analytically with the steady state file, endogenizing a parameter and exogenizing one of the variables such that it’s in compliance with the mentioned ratio in the static model.
As the model becomes more complicated, doing this calibration analytically becomes cumbersome. I’ve seen codes that calibrate to specific steady states numerically by iterating over the parameters until the steady state moment reaches the desired values using the
initval; command in the mod file, and MATLAB’s
fsolve() such that it solves to zero some norm between model’s ss values and target ratios, but most of the times it gets a long time to compute.
I’m aware that there’s an unstable function in Dynare repo that is meant to perform GMM/SMM for calibration in a general manner, but for calibrating only to steady state ratios, is there a way that Dynare does this numerically in 4.6.4?