Var Q , MMD , N, NF, NI, W, WF, WI, P, PF, PI, C, CF, CI, Pi, piF, piI, AF, xi_R, YF, YI, mcF, Y, R; // Exogenous Variables varexo eps_AF eps_R ; //parameters parameters sigma beta phi nu eta mu omega zeta lambda kappa alphaa psi_pi rho_I rho_AF rho_R sig_AF sig_R Css CFss CIss Yss PFss Pss PIss WIss mcFss WFss Rss piss Qss ; // Calibration parameters sigma = 1.11; beta = 0.99; nu = 0.0398; stigma_G = 0.29; phi = 1.59; eta = 0.32; mu = 0.99; omega = 0.55; zeta = 0.3; lambda = 3; kappa=1.5; alphaa = 0.51; psi_pi = 0.56; rho_AF = 0.022; rho_R = 0.221; rho_I = 0.0101; sig_AF=0.0405; sig_R=0.0012; Css = CFss+CIss; CFss = (omega)*((PFss/Pss)^(-mu))*Css; CIss = (1-omega)*((PIss/Pss)^(-mu))*Css; Yss = CFss + CIss; PFss = 1; Pss = 1; PIss = 1; WIss = (zeta*PIss)/Pss; Ass = 1; mcFss = WFss/(PFss*Ass); WFss = (WIss)^(kappa); piss = 1; Rss = beta/piss; Qss = beta/piss; // model equations model (linear); Q = sigma*(C-(beta*C(+1)))-Pi(+1); // C = beta*C(+1) + (1/sigma)*(Q + Pi(+1)) R = rho_I + psi_pi*Pi + xi_R; MMD(+1) = (sigma/nu)*C - (1/(nu*((Rss-1))))*R; N= eta*NF + (1-eta)*NI; NF=eta*NF + (1-eta)*NI ; NI=(1/phi)*(WI-W)+N; W = eta*WF + (1-eta)*WI; WF = kappa*WI; WI = PI-P; P = omega*(PF)+(1-omega)*(PI); PF = piF + PF(-1); PI = piI + PI(-1); C = CF + CI; CF = -mu*(PF-P)+C; CI = -mu*(PI-P)+ C; Pi = omega*piF + (1-omega)*piI; piF = PF - PF(-1); piI = WI - WI(-1); YF = AF+(1-alphaa)*NF; YI =NI; (AF) = rho_AF* AF(-1) + eps_AF; mcF = WF - (PF + AF); Y = ((CFss*CF)/Yss) + ((CIss*CI))/Yss; xi_R = rho_R*xi_R(-1) + eps_R; end; steady;