I am learning simulation under both deterministic and stochastic shocks. Specifically, I use the RBC model provided by dynare, ‘ramst.mod’, exteneded to allow for a deterministic technology shock “x” and a stochastic technology shock “y”. And use “stoch_simul(irf=0);” and “forecast(periods=1000)” to do the simulation.
The problem is that the initial condition that I specified is different from the initial values in the simulation result.
Specifically, I state the initial condition as follows,
x = 0.8;
k = ((delt+bet)/(1.0*aa*alph))^(1/(alph-1));
c = aa*k^alph-delt*k;
c 0.979592 k 8.16327
But in the simulated result, I obtain a different initial state:
>> c_initial=oo_.forecast.Mean.c(1) c_initial = 1.2244 >> k_initial=oo_.forecast.Mean.k(1) k_initial = 10.1862
I attached my codes. can anyone help take a look and let me know what goes wrong? besides, i am also wondering if the values for stochastic shocks used in “forecast” are zero? Thank you for your time in advance.
ramst_mixed.mod (2.34 KB)