Country-specific definitions in multi-country model

Macro-language
1

Hi,

In a multi-country model, I’ve got some countries with a fixed exchange rate and others with a floating exchange rate. Suppose I store this information in the numerical vector fixed = [0 0 1 1 1] in matlab, where countries 3 to 5 have a fixed exchange rate. I then call dynare from matlab using the ‘dynare …mod’ command.

In the .mod file I loop through the various countries and for the equations describing the monetary policy rule, I think I have to put in an if loop along the following lines

@#for i in countries
@#if fixed@{i}==1
‘code describing monetary policy with fixed exchange rate’
@#else
‘code describing monetary policy with floating exchange rate’
@#endif
@#endfor

Ideally, I’d like to input this information on the command line when calling dynare
dynare …mod -Dfixed=fixed

Is there a way to implement this with the macro language? Thanks!

2

I tried something along the following lines, but it indicates a syntax error:

In the main file, I’ve got

ctys = ‘[“H1”,“H2”,“H3”]’;
eval([‘dynare model_ex -Dfixed=[1,1,0] -Dleader=[1,0,0] -Dcountries=’,ctys])

and then in the my_model.mod file, I’ve got

@#define N = length(countries)
…
model;
@#for nb in 1:N
@define i = countries(@{nb});
[name=‘1. Marginal utility of consumption’]
MU@{i} = C@{i}^(-1/sigma);
…
[name=‘10 Monetary policy’]
@#if fixed(@{nb})==1
‘code describing monetary policy with fixed exchange rate’
@#else
‘code describing monetary policy with floating exchange rate’
@#endif
@#endfor

But I get an error saying:
syntax error, unexpected TEXT, expecting COMMA or RPAREN
model_ex.mod (5.5 KB)
main_ex.m (116 Bytes)

3

@sebastien Do you know the answer?

4

There are many syntactical errors in the macro-language code of this .mod file.
— At some places you wrote @define instead of @#define
— When selecting the element of an array, you have to use brackets [ ] instead of parentheses
— You should not use the @{} syntax within a macro-statement.

For example, the line @#if fixed(@{nb}) == 1 should rather be written @#if fixed[nb] == 1 (brackets + no @{}). There are many other similar errors in the file.