Modelling anticipated shocks

There is nothing difficult here but this example shows how to incorporate anticipated shocks into a Dynare program. In particular, this is a matching model in which shocks are known 12 periods in advance. The code can be found at

www1.fee.uva.nl/mint/wdenhaan/so … simple.mod

and the corresponding paper at

www1.fee.uva.nl/mint/wdenhaan/papers/bc.pdf