Inconsisten shock decomposition with/without stoch_simul

Stochastic simulations
1

Dear professors,
We are trying to plot the shock decompositions. We found there is a very strange issue that we cannot figure out why. Basically, if we disable line 226 stoch_simul, we plot a set of shock decompositions. Then we enable this line to plot another set. Then we found that there is a difference between them. We also check the ghx and ghu from these two scenarios are different. I attached the mod file and relevant data needed.
BenchmarkModel_DECOMP.mod (7.5 KB)
BenchmarkModel_DECOMP_steadystate.m (3.1 KB)
Data_BenchmarkModel_2008Q1_2019Q4.mat (3.2 KB)
para_BenchmarkModel.mat (1.2 KB)
para_DECOMP.mat (303 Bytes)
Shocks_std.mat (243 Bytes)

2

The steady state helper is missing. But why is your steady state file loading parameters and therefore overwriting any settings done by Dynare?

3

Hi Professor,
Thanks for your reply. Please see the helper file below. The reason I need to load the parameters in the steady state file because dynare mod file is in a loop when searching parameters. I ensured the loading parameters is consistent with the ones in the mod file. Can you please help me to solve this enquiry regarding the inconsistent shock decomposition problem?
BenchmarkModel_steadystate_helper.m (423 Bytes)

4

Please use Dynare 4.6.4. There the problem is gone.
BenchmarkModel_DECOMP_46.mod (7.5 KB)
BenchmarkModel_DECOMP_46_steadystate.m (2.9 KB)

Also note that there should never be a reason to load parameters in the steady state file.

5

Hi Professor,
Many thanks for your help. We have updated our dynare. I also deleted the loading parameters. You also solved one of my enquiries regarding the steady-state file.