When trying to use the stoch_sim function in this model: Groll_Monacelli_2018_HJ.mod (4.3 KB), I only get the IRF of “pih” and “pistar” for the markup shocks (i.e. “emu” and “emustar”), but not for the shocks to the natural level of output (i.e. “z” and “zstar”). I thought that this might be caused by some “divine coincidence”, meaning that the Dynare won’t produce the IRFs due to too little respons in “pih” and “pistar”. Is that the reason? or do you know what else could explain this?
I hope that you can help.