Dear Dynare team,
I recently tried to replicate the Gertler-Kiyotaki-Queralto (2012) article using Basu/Bundick 2017 method recommended by Prof. Pfeifer at forum given. In the case of a macroprudential policy, I got an impulse response similar to the original paper, but in the absence of a macroprudential policy (the only difference is the value of parameter tau0=0), the results of the “x” (equity ratio) and “mus” (excess value of bank assets) variables are opposite to the original. How can I fix the problem?
Attached are my mod files, and the paper.