Helo!

I’m having some trouble with the volatilities and the IRF of a working capital model, The IRF of a variable is discontinuous, and standard deviation of investment is too low while capital is too high.

The linear version looks correct.

At

Alves

risky_loan_1_7_1.mod (2.1 KB)

risky_loan_1_7_1_nivel.mod (2.1 KB)