many thanks for your help!
i am running a NK model with FA, see in Christensen and Dib 2007.
when i calibrate some parameters ,i find a problem and am puzzled with it.
according the steady state equilibrium ,see in the Appendix B in the paper, if i calibrate thet, beta, S ,delta and alpha, I can get the steady value of i/y.
but it is much different from the value of i/y that is got from data and that usually is used for calibration,too. for example , from other calibrated parameters i may get i/y=0.15, but the average value of data may be 0.3.
is it a problem ? or should i calibrate i/y using data at the same time . i prefer not to.
i am a newbie. thanks for your help again!
attached is other’s code(with some other problem,too) .in this code i think he /she calibrates the parameters at the same time.
nk_est1.mod (2.14 KB)