%Model Description+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
This is just a standard RBC model, but the one used and paramterized
in Schmidt-Grohe and Uribe's 2004 paper showing the 2nd-order accurate
solution of a fairly standard RBC model


%Model Information+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
Name = Standard RBC Model, SGU03;


%Parameters++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
alpha     = 0.3;
delta     = 1.0;
betta     = 0.95;
gamma     = 2.0; 
rho	  = 0.0;
z_bar     = 1.0;
sigma_eps = 1.0; 


%Variable Vectors+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
[1]  k(t):capital{endo}[log,bk]
[2]  c(t):consumption{con}[log,bk]
[4]  y(t):output{con}[log,bk]
[4]  R(t):rrate{con}[log,bk]
[5]  z(t):eps(t):productivity{exo}[log,bk]

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


%Variable Substitution Non-Linear System++++++++++++++++++++++++++++++++++++++++++++++++
[1]   @inv(t)   = k(t)-(1-delta)*k(t-1);
[2]   @inv_bar  = SS{@inv(t)};
[2]   @F(t)     = z(t-1)*k(t-1)**alpha;
[2]   @Fk(t)    = DIFF{@F(t),k(t-1)};
[2]   @Fk_bar   = SS{@Fk(t)};
[2]   @F_bar    = SS{@F(t)};
[4]   @U(t)     = @I{gamma!=1.0}{c(t)**(1-gamma)/(1-gamma)}+@I{gamma==1.0}{LOG(c(t))};
[5]   @MU(t)    = DIFF{@U(t),c(t)};
[5]   @MU_bar   = SS{@MU(t)};
[6]   @MU(t+1)  = FF_1{@MU(t)};



%Non-Linear First-Order Conditions++++++++++++++++++++++++++++++++++++++++++++++++++++++
# Insert here the non-linear FOCs in format g(x)=0

[1]   y(t)-@inv(t)-c(t) = 0;
[2]   betta*(@MU(t+1)/@MU(t))*E(t)|R(t+1)-1 = 0;
[3]   @F(t)-y(t) = 0;
[4]   R(t) - (1+@Fk(t)-delta) = 0;
[5]   LOG(z(t))-rho*LOG(z(t-1))-eps(t) = 0;


%Steady States [Closed Form]+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
[1] k_bar = ((1/betta-1+delta)/(z_bar*alpha))**(1/(alpha-1));
[2] y_bar = z_bar*k_bar**alpha;
[3] c_bar = y_bar - delta*k_bar;
[4] R_bar = 1/betta;


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

%Log-Linearized Model Equations++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
None


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


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