Problem in Dynare Output

Stochastic simulations
1

Hello, I created a code to analyze the shocks in the macroeconomic variables. However, I have a problem: the output of one of the variables does not appear, the variable in question is the inflation rate (pi). I select it to respond to shocks, but it does not respond to shocks.

I’d like someone to let me know what the problem is with the code. The code is attached.model_base01.mod (13.6 KB)

2

When you look at the variance decomposition, you will see that only eps_inf moves pi. For all other shocks, inflation seems to be perfectly stabilized. You need to find out why.