Use normcdf in Dynare/ Normal Dist Integrals


I have a full set of equations + SS. Two of the equations (image attached) accumulate from abar (variable determined endogenously in the model). Should I use an external function or normcdf is used within Dynare? I couldn’t find an example for these type of integrals in Dynare.


a_i is a log-normal with zero mean and a determined variance that I calibrated.

Thank you,

You should be able to use normcdf in Dynare. See the manual.

Christiano, Motto, and Rostagno (2014) use the normcdf function. Have a look at their replication code/paper: Risk Shocks - American Economic Association