Eviews macros for Godley

Variables notation

Eviews will not distinguish variables in lower case from variables in upper case, and will not accept some special characters. We have therefore mapped all book variable notations to a slightly different Eviews notation. Note that a _k is appended to variables measured in real terms.

Book	Eviews	Description
A_s	a_s	Central bank advances made to private banks
A_d	a_d	Advances demanded by private banks
add_bL	add_bl	Spread of bond rate over the bill rate
add_l	add_l	Spread of bill rate over the deposit rate
AF	af	Amortization funds
B_s	b_s	Treasury bills supplied by government
B_d , B_hd	b_d, b_hd	Bills demanded by households
B_h , B_hh	b_h, b_hh	Bills held by households
B_bd	b_bd	Bills actually demanded by banks
B_bdN	b_bdn	Bills notionally demanded by banks
B_cb	b_cb	Bills held by the central bank
B_#^$	b_df	Bills held by # households but issued by the $ country
B_$^#	b_fd	Bills held by $ households but issued by the # country
B_cb_#^$	b_cb_df	Bills held by the # central bank but issued by the $ country (foreign reserves of #)
B_cb_$^$	b_cb_ff	Bills held by $ central bank and issued by the $ country
B_cb_#^#	b_cb_dd	Bills held by the # central bank and issued by the # country
bandB	bandb	Lower range of the flat Phillips curve
bandT	bandt	Upper range of the flat Phillips curve
BL_s	bl_s	Long-term bonds issued by government
BL_d	bl_d	Long-term bonds demanded by households
BL_h	bl_h	Long-term bonds held by households
BP	bp	Balance of payments
BLR	blr	Bank liquidity ratio, actual or gross value
BLR_N	blr_n	Bank liquidity ratio, net of advances
BLPR	blpr	Banks liquidity pressure ratio
BPM	bpm	Bank profit margin
bot	bot	Bottom of an acceptable range
botpm	botpm	Bottom of the acceptable range of the profitability margin of banks
BUR	bur	Relative burden of interest payments on loans taken by households
C, C_d	cons, c_d	Consumption goods demand by households, in nominal terms
c, c_d	c_k, c_k_d	Consumption goods demand by households, in real terms
C_s	c_s	Consumption goods supply by firms, in nominal terms
CAB	cab	Current account balance
CAR	car	Realised capital adequacy ratio of banks
CF	cf	Cash flow of firms
CG	cg	Capital gains
CG^e	cg_e	Expected capital gains of the current period
DA	da	Depreciation allowance
DEF	def	Government deficit
dxr_e	dxr_e	Expected change in the exchange rate
E	e	Value of equities
E_f	e_f	Value of equities issued by firms
E_b	e_b	Value of equities issued by banks
e_s , e_f	e_k_s, e_k_f	Number of stock equities supplied by firms
e_d	e_k_d	Number of firms equities demanded by households
e_b	e_k_b	Number of stock equities supplied by banks
ER	er	Employment rate (the complement of the unemployment rate)
ERr_bL	er_rbl	Expected rate of return on long-term bonds
F_T	f_t	Total profits of firms, inclusive of interest payments on inventories
F_Tnipa	f_tnipa	Profits, as measured by national accountants
F, F_f	f, f_f	Realized entrepreneurial profits of production firms
F	f	Sum of bank and firm profits
F^e	f_e	Expected entrepreneurial profits of firms
F_f	f_f	Realized entrepreneurial profits of production firms
F_f^T	f_f_t	Target entrepreneurial profits of production firms
FD_f	fd_f	Realized dividends of production firms
FU_f	fu_f	Realized retained earnings of production firms
FU_f^T	fu_f_t	Target retained earnings of production firms
F_b	f_b	Realized profits of banks
F_b^T	f_b_t	Target profits of banks
FD_b	fd_b	Dividends of banks
FU_b	fu_b	Retained earnings of banks
FU_b^T	fu_b_t	Target retained earnings of banks
F_cb	f_cb	Profits of central bank
fs	fs	Real fiscal stance
g	g_k	Pure government expenditures in real terms
g’	g_k1	Real total government expenditures (inflation accounted)
G	g	Pure government expenditures in nominal terms
G_T	g_t	Total government expenditures, inclusive of interest payments on debt
G_TD	g_td	Total domestic government expenditures
GD	gd	Government debt (public debt)
GL	gl	Gross flow of new loans made to the household sector
gr	gr	Steady-state growth rate of the economy
gr_k	gr_k	Growth rate of net capital accumulation
gr_g	gr_g	Growth rate of real pure government expenditures
gr_pr	gr_pr	Growth rate of trend labour productivity
H_s	h_s	High-powered money, or cash money, supplied by the central bank
H_bd	h_bd	Reserves demanded by banks
H_hs	h_hs	Cash money supplied to households by the central bank
H_bs	h_bs	Reserves supplied to banks by the central bank
H_d	h_d, h_hd	Cash money demanded by households
H_h , H_hh	h_h, h_hh	Cash money held by households
HC	hc	Historic costs
HC^e	hc_e	Expected historic costs
HUC	huc	Historic unit cost
HUC^e	huc_e	Expected historic unit cost
HWC	hwc	Historic wage cost
i_d	i_k_d	New fixed capital goods demanded by firms (investment flow), in real terms
I_d	i_d	New fixed capital goods demanded by firms (investment flow), in nominal terms
I_s , I	i_s, i	New fixed capital goods supplied by firms, in nominal terms
in	in_k	Realized stock of inventories, in real terms
in^e	in_k_e	Short-run target level (expected level) of inventories, in real terms
in^T	in_k_t	Long-run target level of inventories, in real terms
IN	in	Realized stock of inventories, at current unit costs
IM	im	Imports, in nominal terms
IM_T	im_t	Total imports, inclusive of interest payments made abroad
im	im_k	Real imports
INT_h	int_h	Interest payments received by households
INT_f	int_f	Interest payments paid by by firms
INT_b	int_b	Interest payments paid by banks
k	k_k	Fixed capital stock, in real terms (number of machines)
k_f	k_k_f	Fixed capital stock, in real terms (number of machines) of firms
k_b	k_k_b	Fixed capital stock, in real terms (number of machines) of banks
K	k	Value of fixed capital stock, in nominal terms
K_f	k_f	Value of fixed capital stock, in nominal terms, of firms
K_b	k_b	Value of fixed capital stock, in nominal terms, of banks
KAB	kab	Capital account balance, defined tautologically
KABP	kabp	Capital account balance, excluding official transactions
L_d , L_fd	l_d, l_fd	Loans demanded by firms to private banks
L_s , L_fs , L_f	l_s, l_fs, l_f	Loans supplied by banks to firms
L_hd	l_hd	Loans demanded by households to private banks
L_hs , L_h	l_hs, l_h	Loans supplied by banks to households
M_s	m_s	Money supplied by the government (ch. 3) or the banks
M_d , M_hd	m_d, m_hd	Money deposits demanded by households
M, M_h , M_hh	m, m_h, m_hh	Money deposits actually held by households
M1	m1	Checking account money deposits of households
M2	m2	Time or term deposit money of households
M1_hN	m1_hn	The notional amount of bank checking accounts that households would hold
m_h	m_k_h	Real money balances held by households
ML	ml	Mean lag
N, N_d	n, n_d	Demand for labour
N_s	n_s	Supply of labour
N_fe	n_fe	The full-employment labour force
N^T	n_t	Target level of employment by firms
NAFA	nafa	Net accumulation of financial assets by the household sector (financial saving)
NCAR	ncar	Normal capital adequacy ratio of banks (Cook ratio)
NHUC	nhuc	Normal historic unit cost
NUC	nuc	Normal unit costs
NL	nl	Net flow of new loans made to the household sector
nl	nl_k	Net real flow of new loans made to the household sector
NPL	npl	Amount of non-performing loans (defaulting loans of firms)
npl	npl_k	Proportion of non-performing loans
nple	npl_ke	Expected proportion of non-performing loans
NW	nw	Net worth
NW_h	nw_h	Net worth of households
NW_f	nw_f	Net worth of firms
NW_g	nw_g	Net worth of government
NW_b	nw_b	Net worth of banks
or	or	Gold units
OF_b	of_b	Own funds (equity capital) of banks
OF_b^T	of_b_t	Long-run own funds target of banks
OF_b^e	of_b_e	Short-run own funds target of banks
p	p	Price level
p_ds	p_ds	Price index of domestic sales
p_g	p_g	Price of gold
p_m	p_m	Price index of imports
p_s	p_s	Price index of sales
p_x	p_x	Price index of exports
p_y	p_y	GDP deflator
p_k	p_k	Price of fixed capital goods
p_bL	p_bl	Price of long-term bonds (perpetuities)
p_bL^e	p_bl_e	Expected price of long-term bonds in the next period
p_e , p_ef	p_e, p_ef	Price of firms equities
p_eb	p_eb	Price of banks equities
PE	pe	Price earnings ratio
PSBR	psbr	Public sector borrowing requirement (government deficit)
pr	pr	Labour productivity, or trend labour productivity
q	q	The valuation ratio of firms (Tobin’s q ratio)
Ra	ra	Random number modifying expectations
REP	rep	Repayment by household borrowers (payment on principal)
r, r_b	r, r_b	Real rate of interest on bills
rr_b	rr_b	Real rate of interest on bills
r_bL	r_bl	Yield on long-term bonds
rr_bL	rr_bl	Real yield on long-term bonds
r_l	r_l	Rate of interest on bank loans
r_lN	r_ln	Normal rate of interest on bank loans that firms use to set the markup
rr_l	rr_l	Real rate of interest on bank loans
rr_m	rr_m	Real rate of interest on term deposits
rr_c	rr_c	Real rate of interest on bank loans, deflated by the cost of inventories index
r_a	r_a	Rate of interest on central bank advances
r_k	r_k	Dividend yield
S	s	Sales in nominal terms
S^e	s_e	Expected sales in nominal terms
s	s_k	Realized real sales (in widgets)
s^e	s_k_e	Expected real sales
SAV_h	sav_h	Household saving
T	t	Taxes
top	top	top of a target range
toppm	toppm	top of a target range of bank profitability
UC	uc	Unit cost of production
V, V_h	v, v_h	Wealth of households, in nominal terms
V^e	v_e	Expected wealth of households, in nominal terms
V_nc	v_nc	Wealth of households, net of cash
V_nc^e	n_nc_e	Expected wealth of households, net of cash
V_fma	v_fma	Wealth of households devoted to financial market assets
v	v_k	Wealth of households in real terms
W	w	Nominal wage rate
WB	wb	The wage bill
X	x	Exports in nominal terms
X_T	x_t	Total exports, inclusive of interest payments received from abroad
x	x_k	Real exports
xr	xr	Exchange rate
xr^$	xr_f	Dollar exchange rate: value of one dollar expressed in yen
xr^#	xr_d	Yen exchange rate: value of one yen expressed in dollar
xr_e	xr_e	Expected level of the future exchange rate
Y	y	National income, in nominal terms
Y_fc	y_fc	Full-capacity output
YD	yd	Disposable income of households
YD^e	yd_e	Expected disposable income
YD_hs	yd_hs	Haig-Simons nominal disposable income (including all capital gains)
YD_r	yd_r	Regular disposable income
YD_r^e	yd_r_e	Expected regular disposable income
YP	yp	Nominal personal income
Y_T	y_t	National income plus government debt service
y	y_k	Real output
yd^e	yd_k_e	Expected real disposable income
yd_r	yd_k_r	Realised real regular disposable income
yd_r^e	yd_k_r_e	Expected real regular disposable income
yd, yd_hs	yd_k, yd_k_hs	Haig-Simons realised real disposable income (including inflation losses)
yd_hse	yd_k_hse	Haig-Simons expected real disposable income
z	z	Dichotomic variable or some numerical parameter
zm	zm	Proportional response of the money deposit rate with a change in the bill rate

Greek letters

Book	Eviews	(greek letter)	Description
α	alpha	(alpha)	Consumption parameters
α₀	alpha0		Autonomous consumption
α₁	alpha1		Propensity to consume out of regular income
α₂	alpha2		Propensity to consume out of past wealth
α₃	alpha3		Implicit target wealth to disposable income ratio of households
α₄	alpha4		Long-run government debt to GDP ratio
β	beta	(beta)	Reaction parameter related to expectations
γ	gamma	(gamma)	Partial adjustment function that applies to inventories and fixed capital
δ	delta	(delta)	Rate of depreciation on fixed capital
δ_rep	deltarep		Rate of amortization on personal loans
ε	eps	(epsilon)	Another reaction parameter related to expectations
			Export parameter of a country
ζ	zeta	(zeta)	Reaction parameter related to changes in rate of interest
η	eta	(eta)	New loans to personal income ratio
θ	theta	(theta)	Personal income tax rate
θ’	theta1		Taxes to GDP ratio
ι	iota	(iota)	Parameter tied to the impact of interest rates on the propensity to consume
κ	kappa	(kappa)	Target fixed capital to output ratio
λ	lambda	(lambda)	Reaction parameters in the portfolio choice of households
λ_c	lambdac		Cash to consumption ratio
μ	mu	(mu)	Import propensity or parameter
v	nu	(nu)	Parameter tied to import prices
ξ	xi	(xi)	Reaction parameter tied to changes in interest rates
o	omicron	(omicron)
π	pi	(pi)	Price inflation rate
π_c	pic		Inflation rate of unit costs
ρ	ro	(ro)	Compulsory reserve ratios on bank deposits
σ	sigma	(sigma)	Various measures of inventories to output (or sales) ratio
σ_s	sigmas		Realized (past period) inventories to sales ratio
σ_se	sigmase		Expected (past period) inventories to sales ratio
σ^N	sigman		Normal (past period) inventories to sales ratio
σ^T	sigmat		Target (current) inventories to sales ratio
τ	tau	(tau)	Sales tax rate
υ	ups	(upsilon)	Parameter tied to export prices
φ	phi	(phi)	Costing margin in pricing
φ^T	phit		Ideal costing margin
φ’/(1+φ’)	phi1		Realized share of entrepreneurial profits in sales
χ	chi	(chi)	Weight of conviction in expected bond prices
ψ	psi	(psi)	Target retained earnings to lagged investment ratio
ω	omega	(omega)	Real wage rate
ω^T	omegat		Real wage target
Ω	omega1	(OMEGA)	reaction parameters related to real wage targeting
À	prinf	(hebrew letter)	À = Δp/p (nearly price inflation, but not quite)
€			euro (12,128)
¥			yen (12,165)
$			dollar
£			sterling pound

EViews macros for building models in Wynne Godley and Marc Lavoie Monetary Economics: An Integrated Approach to Credit, Money, Income, Production and Wealth

Variables notation

Greek letters

EViews macros for building models in
Wynne Godley and Marc Lavoie
Monetary Economics: An Integrated Approach to Credit, Money, Income, Production and Wealth