Hi everyone,
I have regularly worked with RBC models where the calibration consisted of matching the theoretical moments with the moments of the data. Now that I have had to resort to estimating parameters by Bayesian methods, given the complexity of the models.
In this case, I was able to obtain theoretical moments very similar to the real ones by means of a Bayesian estimation, even the parameters have reasonable values. However, looking at the forum posts I can notice that there are some criteria about the estimates for example, in my estimate I get:
Estimation::marginal density: There’s probably a problem with the modified harmonic mean estimator.
Log data density is -Inf.
and I don’t know if this is a problem when refereeing my project, as for example in econometrics that the R-squared is important or the levels of significance, etc.
I am attaching the corresponding files to see if I can get some feedback, I would greatly appreciate it
Database.xlsx (66.9 KB) Final.mod (21.7 KB)