From 130afaf7591efac64844473887e23d8fde2e2310 Mon Sep 17 00:00:00 2001 From: Richard Evans Date: Wed, 23 Oct 2024 14:03:44 +0800 Subject: [PATCH 1/2] Added Frisch elasticity calibration and documentation --- docs/book/OGPHL_references.bib | 9 +++++++++ docs/book/content/calibration/exogenous_parameters.md | 2 +- docs/book/content/calibration/households.md | 3 +++ ogphl/ogphl_default_parameters.json | 4 ++-- 4 files changed, 15 insertions(+), 3 deletions(-) diff --git a/docs/book/OGPHL_references.bib b/docs/book/OGPHL_references.bib index 0d6614e..19382d7 100755 --- a/docs/book/OGPHL_references.bib +++ b/docs/book/OGPHL_references.bib @@ -538,6 +538,15 @@ @ARTICLE{McDonaldXu:1995 month = {March-April}, } +@TECHREPORT{McNelisEtAl:2009, + AUTHOR = {Paul D. McNelis and Eloisa T. Glindro and Ferdinand S. Co and Francisco G. {Dakila Jr.}}, + TITLE = {Macroeconomic Model for Policy Analyses and Insights: A DSGE Model for the Philippines}, + INSTITUTION = {Bangko Sentral ng Pilipinas}, + YEAR = {2009}, + type = {BSP Working Paper Series}, + number = {2009-01}, + month = {December}, +} @BOOK{McKinney:2013, AUTHOR = {Wes McKinney}, TITLE = {Python for Data Analysis}, diff --git a/docs/book/content/calibration/exogenous_parameters.md b/docs/book/content/calibration/exogenous_parameters.md index fb1be3a..98b91a6 100644 --- a/docs/book/content/calibration/exogenous_parameters.md +++ b/docs/book/content/calibration/exogenous_parameters.md @@ -51,7 +51,7 @@ kernelspec: | $\tilde{l}$ | Maximum hours of labor supply | 1.000 | | $\beta$ | Discount factor | [0.960...0.960] | | $\sigma$ | Coefficient of constant relative risk aversion | 1.500 | -| $\nu$ | Frisch elasticity of labor supply | 0.400 | +| $\nu$ | Frisch elasticity of labor supply | 0.25 | | $b$ | Scale parameter in utility of leisure | 0.573 | | $\upsilon$ | Shape parameter in utility of leisure | 2.856 | | $\chi^{n}_{s}$ | Disutility of labor level parameters | Too large to report here, see default parameters JSON | diff --git a/docs/book/content/calibration/households.md b/docs/book/content/calibration/households.md index 4441003..dae586a 100644 --- a/docs/book/content/calibration/households.md +++ b/docs/book/content/calibration/households.md @@ -14,3 +14,6 @@ The default value for the intertemporal elasticity of substitution, $\sigma$, is ### Rate of time preference We take our default value for the rate of time preference parameter, $\beta$ from {cite}`Carroll:2009`. We set the value to $\beta=0.96$ (on an annual basis). + +### Frisch elasticity of labor supply +We take our default value for the Frisch elasticity of labor supply as $\nu=0.25$. This value was estimated by {cite}`McNelisEtAl:2009`. diff --git a/ogphl/ogphl_default_parameters.json b/ogphl/ogphl_default_parameters.json index d99c98d..b63f03f 100644 --- a/ogphl/ogphl_default_parameters.json +++ b/ogphl/ogphl_default_parameters.json @@ -1,5 +1,5 @@ { - "frisch": 0.4, + "frisch": 0.25, "g_y_annual": 0.036172072452455455, "S": 80, "J": 7, @@ -101448,4 +101448,4 @@ "frac_tax_payroll": [ 0.0 ] -} \ No newline at end of file +} From ae273d128a9d893bd9f6441bbd1db3b1d7bb2bc9 Mon Sep 17 00:00:00 2001 From: Richard Evans Date: Wed, 23 Oct 2024 14:06:57 +0800 Subject: [PATCH 2/2] Added link to BibTeX reference --- docs/book/OGPHL_references.bib | 1 + 1 file changed, 1 insertion(+) diff --git a/docs/book/OGPHL_references.bib b/docs/book/OGPHL_references.bib index 19382d7..f982ebc 100755 --- a/docs/book/OGPHL_references.bib +++ b/docs/book/OGPHL_references.bib @@ -546,6 +546,7 @@ @TECHREPORT{McNelisEtAl:2009 type = {BSP Working Paper Series}, number = {2009-01}, month = {December}, + url = {https://www.bsp.gov.ph/Media_And_Research/WPS/WPS200901.pdf}, } @BOOK{McKinney:2013, AUTHOR = {Wes McKinney},