Code for "Reputation and Partial Default"

by Manuel Amador and Christopher Phelan.

This repository contains code that replicates the numerical results of "Reputation and Partial Default" by Manuel Amador and Christopher Phelan.

Software requirements

• Julia version 1.7.2.
• The file Project.toml lists all of the necessary Julia packages.
• The figures are generated using PGFPlotsX, a Julia package. Note that a working running LaTeX installation is necessary (with the lualatex command and the standalone package). See PGFPlotsX for details.

Memory and runtime requirements

The main script takes less than 10 minutes to run in 4 core Intel machine (i7-1065G7 CPU @ 1.30GHz) with 16GB of RAM, on Windows 11.

Description of code

1. The directory src contains the main source code. The file partial_default.jl contains the code that runs the simulations.

2. The directory scripts contains the script that generates the figures shown in the paper.

3. The directory output contains the figures generated as an output to the scripts.

Instructions to replications

Make sure you have installed Julia (a version older than 1.7.2).

Navigate to the scripts subdirectory in the command line and run:

> julia paper_figures.jl 

(Alternatively, you can run jupyter, and open and run the paper_figure.ipynb notebook.)

The script should download and precompile the necessary packages the first time it is run (This may take some time).

Output

The script runs the simulations and generates all of the figures in the paper.

License

The code is licensed under a MIT license. See LICENSE.txt for details.