%-----------------------------
%Advanced Monetary Economics: Project 2

%15 April 2021
%----------------------------------

clear all; close all; clc

%% Set dynare path. Which dynare version do you have? 
addpath /Applications/Dynare/4.5.7/matlab; 

%% Estimation of the baseline NK model

[data,var] = xlsread('UKdataxlsx.xlsx','Quarterly');

PIobs  = 100*diff(log(data(:,1)));
Robs   = data(2:end,2);
Yobs   = 100*diff(log(data(:,3))); 
Labobs = 100*diff(log(data(:,4)));
Cobs   = 100*diff(log(data(:,5))); 
Iobs   = 100*diff(log(data(:,6))); 
Wobs   = 100*diff(log(data(:,7))); 

save est_data Yobs PIobs Robs Labobs Cobs Iobs Wobs
 
close all; clc; clear all;
dynare project2_case2;
