%Model Description++++++++++++++++++++++++++++++++++
This is just a standard RBC model, as you can see.


%Model Information++++++++++++++++++++++++++++++++++
Name = RBC2 Model;



%Parameters+++++++++++++++++++++++++++++++++++++++++
rho                              = 0.95;
delta                            = 0.025;
betta                            = 0.99;
alpha                            = 0.4;
sigma                            = 2.0;
z_bar                            = 1.0;
sigma_eps                        = 0.712; 


%Variable Vectors++++++++++++++++++++++++++++++++++++
[1]  k(t):capital{endo}[log,hp]
[2]  c(t):consumption{con}[log,hp]
[3]  z(t):eps(t):productivity{exo}[log,hp]


%Boundary Conditions+++++++++++++++++++++++++++++++++
None


%Variable Substitution Non-Linear System+++++++++++++
None


%Non-Linear First-Order Conditions+++++++++++++++++++
None


%Manual entry of sstate non-linear system++++++++++++
None


%Steady States [Closed Form]++++++++++++++++++++++++++
k_bar = ((1/alpha)*((1/betta)-1+delta))**(1/(alpha-1));
y_bar = k_bar**alpha;
c_bar = y_bar-delta*k_bar;
ky_bar = k_bar/y_bar;
cy_bar = c_bar/y_bar;


%Steady State Non-Linear System [Manual]++++++++++++++
None


%Log-Linearized Model Equations++++++++++++++++++++++
[1]   -sigma*c(t)=-sigma*E(t)|c(t+1)+...
      (1-betta*(1-delta))*(alpha-1)*k(t)...
      +(1-betta*(1-delta))*E(t)|z(t+1);
[2]   z(t)+(alpha+(1-delta)*ky_bar)*k(t-1)...
      -cy_bar*c(t)=ky_bar*k(t);
[3]   z(t+1)=rho*z(t)+eps(t+1);


%Variance-Covariance Matrix++++++++++++++++++++++++++
Sigma = [sigma_eps**2];


%End Of Model File+++++++++++++++++++++++++++++++++++
