diff --git a/Hetero-And-Macro/central-banks-hark-and-ssj.md b/Hetero-And-Macro/central-banks-hark-and-ssj.md index 80c21ec..2625405 100644 --- a/Hetero-And-Macro/central-banks-hark-and-ssj.md +++ b/Hetero-And-Macro/central-banks-hark-and-ssj.md @@ -4,7 +4,7 @@ author: "Christopher D. Carroll" format: revealjs: smaller: false - scrollable: true + scrollable: false --- # Econ-ARK for Central Banks @@ -17,7 +17,7 @@ Christopher Carroll Johns Hopkins University -[Powered By Econ-ARK](link to button) +Powered By [Econ-ARK](http://www.econ-ark.org) ## Microfoundations in a Nutshell (1/2) {.smaller} @@ -38,29 +38,29 @@ Johns Hopkins University ### Early 1990s: Numerical computation of SS dist'n of wealth -* Life Cycle/OLG: +* Life Cycle / OLG: + Zeldes (1989); Hubbard, Skinner, and Zeldes (1994, 1995); + Huggett (1996); Carroll (1997) * Infinite Horizon + Deaton (1991); Carroll (1992); Aiyagari (1994) -* Aggregate _dynamics_? Hopeless: +* Aggregate **dynamics**? Hopeless: + requires predicting evolution of entire **distribution** ## Dynamics {.smaller} -### Krusell-Smith (1998): +### [Krusell-Smith (1998)](https://econ-ark.org/materials/krusellsmith/): * _mean_ of distribution $\bar{k}$ is good enough! * still excruciatingly slow ### Reiter (2010): -* SS Micro and Dyn Macro _can be solved independently_ - + _Why_? Idiosyncratic shocks 100x larger than agg +* SS Micro and Dyn Macro *can be solved independently* + + *Why*? Idiosyncratic shocks 100x larger than agg + So agg shocks cause 'small' perturbation of dstn * $\Rightarrow$ Reiter Singularity: 2014-2018 - + Culmination: "Sequence Space Jacobian" Toolkit: + + Culmination: ["Sequence Space Jacobian" Toolkit](https://github.com/shade-econ/sequence-jacobian): + Bring us your micro SS and Jacobians wrt PF aggregate shocks - ...We'll give you the dynamic macro @@ -69,17 +69,17 @@ Johns Hopkins University ### Rich Set of Tools for SS Micro ... - -* [Consumption/Saving](link me) -* [Portfolio Choice](link me) -* [Liquid and Illiquid Assets](link me) -* [Discrete-Continuous Problems](link me): [DC-EGM tool](link me) -* [Labor Supply](link me): [Keane and Imai](link me) -* [Medical Expense Risk](link me) -* [Life Cycle Modeling](link me): [solutions](link me) and [datasets](All the SCFs, with tools) +* [Consumption/Saving](https://docs.econ-ark.org/Documentation/reference/ConsumptionSaving/ConsIndShockModel.html) +* [Portfolio Choice](https://docs.econ-ark.org/Documentation/reference/ConsumptionSaving/ConsPortfolioModel.html) +* [Liquid and Illiquid Assets](https://www.youtube.com/watch?v=dQw4w9WgXcQ) +* [Discrete-Continuous Problems](https://econ-ark.org/materials/dcegm-upper-envelope/): [DC-EGM tool](https://docs.econ-ark.org/Documentation/reference/tools/dcegm.html) +* [Labor Supply](https://docs.econ-ark.org/Documentation/reference/ConsumptionSaving/ConsLaborModel.html): [Keane and Imai](https://docs.econ-ark.org/Documentation/reference/tools/incomeprocess.html) +* [Medical Expense Risk](https://docs.econ-ark.org/Documentation/reference/ConsumptionSaving/ConsMedModel.html) +* Life Cycle Modeling: [solutions](https://docs.econ-ark.org/examples/LifecycleModel/Cycles_tutorial.html) and [datasets](https://docs.econ-ark.org/Documentation/reference/tools/incomeprocess.html) * Sophisticated Liquidity Constraints - + [Higher rate for borrowing vs saving](link me) - + [withdrawal penalties for retirement saving](Mateo VG JMP) + + [Higher rate for borrowing vs saving](https://docs.econ-ark.org/Documentation/reference/ConsumptionSaving/ConsIndShockModel.html#HARK.ConsumptionSaving.ConsIndShockModel.KinkedRconsumerType) + + [Withdrawal penalties for retirement saving](https://mateovg.com/files/pdf/JMP_VelasquezGiraldoM.pdf) +* Etc etc ## Where Does Econ-ARK Fit? (2/2) {.smaller} @@ -92,11 +92,13 @@ Johns Hopkins University 1. Feed results to SSJ toolkit * Documentation Notebooks - + (links to all three of our SSJ documentation notebooks) + + [HARK and the Sequence Space Jacobian Method](https://docs.econ-ark.org/examples/ConsNewKeynesianModel/SSJ_example.html) + + Computing Heterogeneous Agent Jacobians in HARK](https://docs.econ-ark.org/examples/ConsNewKeynesianModel/Jacobian_Example.html) + + [Solving Krusell-Smith Model with HARK and SSJ](https://docs.econ-ark.org/examples/ConsNewKeynesianModel/KS-HARK-presentation.html) * Papers: + Will Du: [HANK with Scarring](link me) - + Bence Barosczy and Mateo Velasquez-Giraldo: "HANK Comes of Age" + + Bence Barosczy and Mateo Velasquez-Giraldo: [HANK Comes of Age](https://www.federalreserve.gov/econres/feds/hank-comes-of-age.htm) + In progress: [Welfare and Spending Effects of Consumption Stimulus Policies](https://llorracc.github.io/HAFiscal) @@ -104,10 +106,10 @@ Johns Hopkins University ### Life Cycle Model (Gourinchas-Parker; Cagetti) -* [SolvingMicroDSOPs-Estimation](link me) +* [SolvingMicroDSOPs]: (https://github.com/econ-ark/SolvingMicroDSOPs) * With Bequests? (DeNardi) - - [TRP Model Notebook](link me) + - [TRP Model Notebook](https://github.com/econ-ark/EstimatingMicroDSOPs/blob/main/src/notebooks/Model_Comparisons.ipynb) ## But Wait, There's More: REMARKS {.smaller} @@ -157,8 +159,7 @@ Johns Hopkins University ### Tower of Babel problem -1. Lack of transparency - + What exactly **is** your model? +1. Lack of transparency: What exactly **is** your model? + Lots of buried assumptions: gridpoints, boundaries, dstns 2. Lack of replicability + Some notorious stories (only runs on Win 8.1 w/ Matlab 8.7.6.5)