Could you help with dynare code to generate the impulse response functions for the paper by Chang et al 2015
Which problem are you facing? And which exact reference are you talking about?
please find the code I tried to run and couldnt find the impulse response functions
Sachaba.mod (3.2 KB)
Your model seems to be only partly linearized. This makes the equations incompatible with each other. Either go fully linear or fully nonlinear.