Dear all, I tried to replicate (An analysis of devaluations and output dynamics in Latin America using an estimated DSGE model) Camilo E Tovar 2006. I’m using the log-linearized model that the same author gives in (The mechanics of devaluations and the output response in a DSGE model: How relevant is the balance sheet effect?) in this paper, the autor makes the mathematical process(in the first paper there are the estimated parameters). However, the impulses response don’t coincide with Tovar 2006.
-P.S. I think that the problem is in (f_s) nominal devaluation ecuation because on Tovar 2005 it doesn’t appear, but I don’t know which other ecuation use.
-In my .mod archive is only computed the first shock (devaluation policy) for the Colombian case.
Colombia case.mod (8.3 KB)