Dear Madams and Sirs,
Accompanying with Matlab, I downloaded the Dynare and ran a dynare program, as following P.S. A., produced by Barillas, Colacito and Kitao (2007), which did calibration of the two-country production model in Kim and Kim (2003). Barillas, Colacito and Kitao (2007) offered the Dynare practicing .mod file for reader. I ran with the .mod file, but the Dynare responsed to me with a syntax error, as following P.S. B., at line 44. 12-18, i.e. “stoch_simul(dr_algo=0,periods=200).” As I know, the “dr_algo” is a reserve word for the statement of stoch_simul. Why did the syntax error happen to me? How should I sort out the problem?
I appreciate your help.
Best regards,
Dou-Ming Su (Mr.)
P.S.
A.
periods 200;
var c1 c2 k1 k2 a1 a2 y1 y2;
varexo e1 e2;
parameters gamma delta alpha beta rho;
gamma=2;
delta=.05;
alpha=.4;
beta=.98;
rho=.85;
model;
c1=c2;
exp(c1)^(-gamma) = betaexp(c1(+1))^(-gamma)(alphaexp(a1(+1))exp(k1)^(alpha-1)+1-delta);
exp(c2)^(-gamma) = betaexp(c2(+1))^(-gamma)(alphaexp(a2(+1))exp(k2)^(alpha-1)+1-delta);
exp(c1)+exp(c2)+exp(k1)-exp(k1(-1))(1-delta)+exp(k2)-exp(k2(-1))(1-delta) = exp(a1)exp(k1(-1))^alpha+exp(a2)exp(k2(-1))^alpha;
a1=rhoa1(-1)+e1;
a2=rhoa2(-1)+e2;
exp(y1)=exp(a1)*exp(k1(-1))^alpha;
exp(y2)=exp(a2)*exp(k2(-1))^alpha;
end;
initval;
y1=1.1;
y2=1.1;
k1=2.8;
k2=2.8;
c1=.8;
c2=.8;
a1=0;
a2=0;
e1=0;
e2=0;
end;
shocks;
var e1; stderr .08;
var e2; stderr .08;
end;
steady;
stoch_simul(dr_algo=0,periods=200);
datatomfile(‘simu2’,]);
B.
dynare TwocountryApprox
Configuring Dynare …
[mex] Generalized QZ.
[mex] Sylvester equation solution.
[mex] Kronecker products.
[mex] Sparse kronecker products.
Starting Dynare …
Starting preprocessing of the model file …
ERROR: TwocountryApprox.mod:44.12-18: syntax error, unexpected NAME
??? Error using ==> dynare at 96
DYNARE: preprocessing failed