RunMainWithFECalibrationsNoShocks.m

 clc
 clear all
 close all

 %{ 
This file solves the G-S economy with BGP preferences of the form
 psi.log[c]+(1-psi)log[1-l] with following calibrations

1.] The ratio of productivities is 3.3 and the low productivity is
 normalized to 1
2.] psi is choosen to get a average FE of about 0.5
3.] pareto wts are such that the no-shock problem gives a tax rate of about
    20 percent
4.] Government expenditures are about 11 and 13 percent of the output
5.] beta =0.9
%}
 
 
% Set up the para structure  
SetParaStruc
theta_1=3.3; % theta high
theta_2=1;  % theta low
g_l_y=.12; % g low
g_h_y=.12; % g high
n1=1;
n2=1;
tau=.2;
g_Y=mean([g_l_y g_h_y]);
AvfFETarget=.5;
x=fsolve(@(x) GetCalibrationFrischElasticity (x,AvfFETarget,theta_1,theta_2,tau,g_Y,n1,n2), [1 1 ]);
gamma=x(1);
Y=x(2);
g=g_Y*Y;
psi=1/(1+gamma);
beta=.9;
alpha_1=0.75;
alpha_2=1-alpha_1;
Para.n1=n1;
Para.n2=n2;
alpha_1=alpha_1*Para.n1;
alpha_2=alpha_2*Para.n2;
Para.beta=.9;
Para.alpha_1=alpha_1;
Para.alpha_2=alpha_2;
Para.psi=psi;
Para.g=[g_l_y g_h_y]*Y;
Para.theta_1=theta_1;
Para.theta_2=theta_2;
Para.btild_1=0;
Para.alpha_1=alpha_1;
Para.alpha_2=alpha_2;
Para.datapath=['Data/Calibration/NoShocks/'];
mkdir(Para.datapath)
casename='FE_High';
Para.StoreFileName=['c' casename '.mat'];
CoeffFileName=[Para.datapath Para.StoreFileName];
 
 %  --- SOLVE THE BELLMAN EQUATION --------------------------------------
 % test run 
 Para.Niter=10;
RGrid.RMin=2.2;
RGrid.RMax=2.8;
MainBellman(Para) 


% --- Med alpha ---------------------------------------------------------

alpha_1=0.5;
alpha_2=1-alpha_1;
alpha_1=alpha_1*Para.n1;
alpha_2=alpha_2*Para.n2;
Para.alpha_1=alpha_1;
Para.alpha_2=alpha_2;
casename='FE_Med';
Para.StoreFileName=['c' casename '.mat'];
RGrid.RMin=2.2;
RGrid.RMax=2.8;
MainBellman(Para)



% --- Low alpha ---------------------------------------------------------

alpha_1=0.25;
alpha_2=1-alpha_1;
alpha_1=alpha_1*Para.n1;
alpha_2=alpha_2*Para.n2;
Para.alpha_1=alpha_1;
Para.alpha_2=alpha_2;
casename='FE_Low';
Para.StoreFileName=['c' casename '.mat'];
RGrid.RMin=2.2;
RGrid.RMax=2.5;
MainBellman(Para)



 %% Set the Parallel Config
err=[];
try
    matlabpool('size')
catch err
end
if isempty(err)
    
    
    if(matlabpool('size') > 0)
        matlabpool close
    end
    
    matlabpool open local;
    
end

%-- Simulate the MODEL -------------------------------------------------
NumSim=250;
sHist0=round(rand(NumSim,1))+1;


K=3;

ex(1).casename='FE_High'; % benchmark calibrations high alpha1
ex(2).casename='FE_Med'; % benchmark calibrations with medium alpha1
ex(3).casename='FE_Low'; % benchmark calibrations high alpha1



for ctrb=1:K
CoeffFileName=['Data/Calibration/NoShocks/c' ex(ctrb).casename '.mat'];
Sol=load(CoeffFileName);
Param(ctrb)=Sol.Para;
end

for ctrb=1:K
  CoeffFileName=['Data/Calibration/NoShocks/c' ex(ctrb).casename '.mat'];
c10guess=1;
c20guess=1/Param(ctrb).RMax;
[sHist(:,ctrb),gHist(:,ctrb),u2btildHist(:,ctrb),RHist(:,ctrb),...
TauHist(:,ctrb),YHist(:,ctrb),TransHist(:,ctrb),btildHist(:,ctrb),...
c1Hist(:,ctrb),c2Hist(:,ctrb),l1Hist(:,ctrb),l2Hist(:,ctrb),...
IntHist(:,ctrb),IncomeFromAssets_Agent1Hist(:,ctrb),...
AfterTaxWageIncome_Agent1Hist(:,ctrb),AfterTaxWageIncome_Agent2Hist(:,ctrb),...
GShockDiffHist(:,ctrb),TransDiffHist(:,ctrb),LaborTaxAgent1DiffHist(:,ctrb),...
LaborTaxAgent2DiffHist(:,ctrb),DebtDiffHist(:,ctrb),GiniCoeffHist(:,ctrb)]...
=RunSimulations(CoeffFileName,0,c10guess,c20guess,NumSim,Param(ctrb),sHist0);
end

save( [Para.datapath 'SimDataParallelCommonShocks.mat'],'sHist',...
       'gHist','u2btildHist','RHist','TauHist','YHist','TransHist',...
       'btildHist','c1Hist','c2Hist','l1Hist','l2Hist','Para','IntHist',...
       'AfterTaxWageIncome_Agent1Hist','AfterTaxWageIncome_Agent2Hist',...
       'IncomeFromAssets_Agent1Hist','GShockDiffHist','TransDiffHist',...
       'LaborTaxAgent1DiffHist','LaborTaxAgent2DiffHist','DebtDiffHist',...
       'GiniCoeffHist')

   
   
   
%  % -- PLOT DIAGNOSTICS -----------------------------------------
close all
clear all
clc
SimTitle{1}='$\alpha_1=0.75$';
SimTitle{2}='$\alpha_1=0.50$';
SimTitle{3}='$\alpha_1=0.25$';
SimDataPath= 'Data/Calibration/NoShocks/SimDataParallelCommonShocks.mat';
SimPlotPath='Graphs/Calibration/NoShocks/';
mkdir(SimPlotPath)
SimTexPath='Tex/Calibration/NoShocks/';
mkdir(SimTexPath)
PlotParallelSimulationsCommonShocks(SimDataPath,SimTexPath,SimPlotPath,SimTitle)


 Para.datapath=['Data/Calibration/NoShocks/'];
 Para.StoreFileName=['c' ex(1).casename '.mat'];
 GetPlotsForFinalSolution(Para)
 for i=1:3
SimDataPath= 'Data/Calibration/NoShocks/SimDataParallelCommonShocks.mat';
load(SimDataPath)
Domain.xBounds=[min(u2btildHist(:,i)) max(u2btildHist(:,i))];
Domain.RBounds=[min(RHist(:,i)) max(RHist(:,i))];
 Para.datapath=['Data/Calibration/NoShocks/'];
 Para.StoreFileName=['c' ex(i).casename '.mat'];
 plotpath=['Graphs/Calibration/NoShocks/' ex(i).casename '/']    
GetPlotsForFinalSolution(Para,plotpath)
 end