Materials Related to Altig,
Christiano, Eichenbaum, Linde, ‘Firm-Specific Capital, Nominal Rigidities, and
the Business Cycle’.
Overheads (pdf
file , power
point file – 11.4mb) for a Presentation at the Bank of Portugal, November
4, 2004.
Technical Materials:
The technical
appendix for this project.
The software related to the
project is available here. You will need the code for the Andersen-Moore Algorithm, general model-solving code, as well as the code
designed specifically for this project. You can place all the files in one
directory. If you place the code in three different directories, then run
MATLAB in the directory where the model-specific code is located, and modify
the setpath.m file to indicate the location of the Anderson-Moore and
model-solving code.
You can replicate the results
of the paper and execute robustness tests by running program main.m. The first
section of this code allows the user to set parameters which control execution.
To run the vector autoregression (VAR) part of the analysis, you may find it
useful to work through this tutorial/homework assignment
(the assignment refers to multivariate
q statistics and AIC
criteria, as well as a paper by Francis and
Ramey). To analyze the equilibrium model, you may find this tutorial/homework useful. The paper reports
estimation results for a benchmark version of the model, as well as several
perturbations. Detailed notes on how to reproduce these results can be found in
the readme.m file.