I try to use this function argument but it doesn’t generate any binary file with the simulation results. Why is this happening?
simul_replic = 10000
Number of series to simulate when empirical moments are requested (i.e. periods > 0). Note that if this option is greater than 1, the additional series will not be used for computing the empirical moments but will simply be saved in binary form to the file FILENAME_simul. Default: 1.
The code follow bellow:
%----------------------------------------------------------------
%% Declaring variables and parameters
%----------------------------------------------------------------
var c h y i k t lna lambda d d_y tb_y ca_y r r_star riskpremium util;
varexo e e_rs;
parameters gam omega rho sigma delta zeta alph phi r_bar dy_bar beta s;
gam = 2;
omega = 1.6;
alph = 0.32;
phi = 0.028;
dy_bar = 0.503;
zeta = 0.161;
r_bar = 0.086-zeta*dy_bar;
beta = 1/(1+r_bar+zeta*dy_bar);
delta = 0.082;
rho = 0.2;
sigma = 0.2;
s = ((zeta*dy_bar)/(1 + r_bar))*(1+r_bar)*0.59373;
%----------------------------------------------------------------
%% Model Block
%----------------------------------------------------------------
model;
% Resource Constraint
d = (1+t(-1))*(1+r(-1))*d(-1)- y + c + i + (phi/2)*(k-k(-1))^2 - s;
% Production function
y = exp(lna)*(k(-1)^alph)*(h^(1-alph));
% Law of motion for capital
k = i+(1-delta)*k(-1);
% Capital Control Equation
t=(((1-zeta)+r_star+zeta*(exp(d_y-dy_bar))*(1+d_y))/((1-zeta)+r_star+zeta*(exp(d_y-dy_bar))))-1;
% Euler equation
lambda= beta*(1+r)*lambda(+1)*(1+t);
% Consumption FOC
lambda = (c-((h^omega)/omega))^(-gam);
% Labor FOC
((c-((h^omega)/omega))^(-gam))*(h^(omega-1)) = lambda*(1-alph)*y/h;
% Investment FOC
lambda*(1+phi*(k-k(-1))) = beta*lambda(+1)*(alph*y(+1)/k+1-delta+phi*(k(+1)-k));
% Law of motion for TFP
lna = rho*lna(-1)-e;
% International interest rate
r_star = r_bar + sigma*e_rs;
% Domestic interest rate
r = r_star+riskpremium;
% Risk premium
riskpremium = zeta*(exp(d_y-dy_bar)-1);
% Additional calculations
util=(((c-omega^(-1)*h^omega)^(1-gam))-1)/(1-gam);
tb_y = 1-((c+i-s+(phi/2)*(k-k(-1))^2)/y);
ca_y = (1/y)*(d(-1)-d);
d_y = d/y;
end;
%----------------------------------------------------------------
% Steady State Block
%----------------------------------------------------------------
// See modelcomtaxae_steadystate
steady;
check;
%----------------------------------------------------------------
%% Ramdom Shock Block
%----------------------------------------------------------------
shocks;
var e; stderr sigma;
%var e_rs; stderr 1/sigma;
end;
%----------------------------------------------------------------
%% Solve the model
%----------------------------------------------------------------
stoch_simul(order=1, drop=100, periods =300, hp_filter=1600, simul_replic = 1000, irf=30) y c i d_y tb_y riskpremium r t util h k r_star lna;