Merge pull request #10 from gboehl/andkound98-econpizza-hank-example-mc

Andkound98 econpizza hank example mc
gboehl · Jun 27, 2023 · f8a9f17 · f8a9f17
2 parents e580024 + 79a6159
commit f8a9f17
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Showing 6 changed files with 13 additions and 9 deletions.
diff --git a/econpizza/examples/hank_labor.yml b/econpizza/examples/hank_labor.yml
@@ -10,7 +10,7 @@ functions_file: 'hank_labor_functions.py'
 definitions: |
     from jax.numpy import log, maximum
     from econpizza.tools import percentile, jax_print
-variables: [ div, y, y_prod, w, pi, R, Rn, Rr, Rstar, tax, z, beta, C, N, B, Top10C, Top10A ]
+variables: [ div, mc, y, y_prod, w, pi, R, Rn, Rr, Rstar, tax, z, beta, C, N, B, Top10C, Top10A ]
 parameters: [ sigma_c, sigma_l, theta, psi, phi_pi, phi_y, rho, rho_beta, rho_r, rho_z, chi ]
 shocks: [ e_beta, e_rstar, e_z ]
 
@@ -55,7 +55,8 @@ equations:
     ~ N = y_prod/z # production function
     ~ div = - w*N + (1 - psi*(pi/piSS - 1)**2/2)*y_prod # dividends
     ~ y = (1 - psi*(pi/piSS - 1)**2/2)*y_prod # "effective" output
-    ~ psi*(pi/piSS - 1)*pi/piSS = (1-theta) + theta*w/z + psi*piPrime/R*(piPrime/piSS - 1)*piPrime/piSS*y_prodPrime/y_prod # NKPC
+    ~ psi*(pi/piSS - 1)*pi/piSS = (1-theta) + theta*mc + psi*piPrime/R*(piPrime/piSS - 1)*piPrime/piSS*y_prodPrime/y_prod # NKPC
+    ~ mc = w/z # marginal costs
 
     # government
     ~ Rr = RLag/pi # real rate ex-post
@@ -92,7 +93,8 @@ steady_state:
         z: 1. # technology
         pi: 1.0 # inflation
         B: 5.6 # bond supply
-        w: (theta-1)/theta # wages
+        mc: (theta-1)/theta # marginal costs
+        w: mc*z
         div: 1 - w*N # dividends
         Rstar: 1.002 # steady stat target rate
 

diff --git a/econpizza/examples/hank_with_comments.yml b/econpizza/examples/hank_with_comments.yml
@@ -18,7 +18,7 @@ definitions: |
     from econpizza.tools import percentile, jax_print
 
 # these lists define the relevant models objects
-variables: [ div, y, y_prod, w, pi, R, Rn, Rr, Rstar, tax, z, beta, C, n, B, Top10C, Top10A ]
+variables: [ div, mc, y, y_prod, w, pi, R, Rn, Rr, Rstar, tax, z, beta, C, n, B, Top10C, Top10A ]
 parameters: [ sigma_c, sigma_l, theta, psi, phi_pi, phi_y, rho, rho_beta, rho_r, rho_z ]
 shocks: [ e_beta, e_rstar, e_z ]
 
@@ -89,7 +89,8 @@ equations:
     ~ n = y_prod/z # production function
     ~ div = -w*n + (1 - psi*(pi/piSS - 1)**2/2)*y_prod # dividends
     ~ y = (1 - psi*(pi/piSS - 1)**2/2)*y_prod # "effective" output
-    ~ psi*(pi/piSS - 1)*pi/piSS = (1-theta) + theta*w + psi*piPrime/R*(piPrime/piSS - 1)*piPrime/piSS*y_prodPrime/y_prod # NKPC
+    ~ psi*(pi/piSS - 1)*pi/piSS = (1-theta) + theta*mc + psi*piPrime/R*(piPrime/piSS - 1)*piPrime/piSS*y_prodPrime/y_prod # NKPC
+    ~ mc = w/z # marginal costs
 
     # government
     ~ tax = (Rr-1)*BLag # balanced budget
@@ -129,10 +130,11 @@ steady_state:
         beta: 0.98 # discount factor
         B: 5.6 # bond supply
         # definitions can be recursive: theta is defined above
-        w: (theta-1)/theta # wages
+        mc: (theta-1)/theta # marginal costs
+        w: (mc*y)**(sigma_l/(1+sigma_l)) # wages
         n: w**(1/sigma_l) # labor supply
-        div: 1 - w*n # dividends
         z: y/n # technology
+        div: 1 - w*n # dividends
 
     init_guesses:
         Rstar: 1.002 # steady state target rage

diff --git a/econpizza/testing/cache/hank_labor.npy b/econpizza/testing/cache/hank_labor.npy
diff --git a/econpizza/testing/cache/hank_solid.npy b/econpizza/testing/cache/hank_solid.npy
diff --git a/requirements.txt b/requirements.txt
@@ -1,7 +1,7 @@
 # ubuntu seems to have issues with jax v0.4.6. Recheck when v0.4.7 is out
 jax>=0.4.13
 jaxlib>=0.4.13
-grgrjax>=0.4.3
+grgrjax>=0.4.4
 scipy
 pyyaml
 pytest

diff --git a/setup.py b/setup.py
@@ -36,7 +36,7 @@
     install_requires=[
         "jax>=0.4.13",
         "jaxlib>=0.4.13",
-        "grgrjax>=0.4.3",
+        "grgrjax>=0.4.4",
         "pyyaml",
         "scipy",
     ],