Example9.10 {CGE} | R Documentation |
Example 9.10-9.14 in Li (2019)
Description
This is Example 9.10-14 in Li (2019), which illustrates economic cycles in a monetary economy and economic policies ironing economic cycles.
Usage
Example9.10(
policy = NULL,
pExg = rbind(NA, NA, 0.25),
p0 = rbind(0.625, 0.375, 0.25),
priceAdjustmentVelocity = 0.3,
ts = TRUE
)
Arguments
Those arguments will be passed to the function sdm. See sdm
.
policy |
a policy function |
pExg |
an n-vector indicating the exogenous prices (if any). |
p0 |
an initial price n-vector. |
priceAdjustmentVelocity |
the price adjustment velocity. |
ts |
if TRUE, the time series of the last iteration are returned. |
Author(s)
LI Wu <liwu@staff.shu.edu.cn>
References
LI Wu (2019, ISBN: 9787521804225) General Equilibrium and Structural Dynamics: Perspectives of New Structural Economics. Beijing: Economic Science Press. (In Chinese)
See Also
sdm
;
Example9.10.policy.interest.rate
;
Example9.10.policy.money.supply
;
Example9.10.policy.deflation
;
Example9.10.policy.quantitative.easing
;
Example9.10.policy.tax
;
Example9.10.policy.deficit.fiscal
Examples
##### no policy
ge <- Example9.10()
matplot(ge$ts.p, type = "l")
matplot(ge$ts.z, type = "l")
##### interest rate policy (Fig. 9.12)
Example9.10(policy = Example9.10.policy.interest.rate)
##### monetary supply policy (Fig. 9.13)
Example9.10(policy = Example9.10.policy.money.supply)
##### deflation policy (Fig. 9.14)
ge <- Example9.10(
policy = Example9.10.policy.deflation,
pExg = rbind(NA, NA, 0),
p0 = rbind(0.625, 0.375, 0), ts = TRUE
)
plot(ge$ts.S[3, 3, ], type = "l")
plot(ge$ts.q[, 3], type = "l")
##### quantitative easing policy (Fig. 9.15)
ge <- Example9.10(
policy = Example9.10.policy.quantitative.easing,
pExg = rbind(NA, NA, 0),
p0 = rbind(0.625, 0.375, 0),
ts = TRUE
)
plot(log(ge$ts.S[3, 3, ]), type = "l")
plot(ge$ts.q[, 3], type = "l")
plot(log(ge$ts.p[, 1]), type = "l")
lines(log(ge$ts.p[, 2]), col = "blue")
##### deficit fiscal policy (Fig. 9.17; Fig. 9.18)
ge <- Example9.10(
policy = Example9.10.policy.deficit.fiscal,
priceAdjustmentVelocity = 0.5, ts = TRUE
)
plot(ge$ts.S[3, 3, ], type = "l")
plot(ge$ts.q[, 1], type = "l")
deficit.Example9.10 <- ge$policy.data
plot(deficit.Example9.10, type = "l")
plot(deficit.Example9.10[, 1], cumsum(deficit.Example9.10[, 2]), type = "l")
plot(deficit.Example9.10[, 1],
cumsum(deficit.Example9.10[, 2]) /
(tail(ge$ts.z[, 1] * ge$ts.p[, 1], -399)),
type = "l"
)
##### tax policy (Fig. 9.16)
ge <- Example9.10(policy = Example9.10.policy.tax)
plot(ge$policy.data, type = "l")