I was looking at the new version of Dynare and how it works with Occbin. As an example, I took the Gertler and Karadi (2011) sample code
FA.mod and add ZLB on interest rate in
Does anyone know why I get no responses at all (not just in piece-wise linear but also in linear) for capital quality shock
occbin_solver? The same size of the shock gives me responses with standard
stoch_simul. The case with other shocks (e.g. productivity) seems to be fine. It is just the capital quality shock.
Thanks in advance!
FA.mod (7.5 KB)
FA_Occbin.mod (6.2 KB)
Not sure if this is a related bug:
The way Dynare 5.1 prints out the regime history with Occbin is slightly different when the shock is hit once at period 1. Using the same file I attached above
FA_Occbin.mod (attached again),
FA_Occbin.mod (6.3 KB)
I get history like in the figure below.
From what I can see, this is normal Matlab behavior. The display will change whether the structure has 1 or more entries.
Got it. Thank you! I thought it was some kind of a bug because the display looked a little different from what the dynare manual said. Thank you again!