Table of contents Chapter 10 Notes on EViews version Notation Copyright Comments Guestbook
Model INSOUT - Model INSOUT version 2
Model INSOUT puts together all sectors analyzed in the previous models.
Since the model is rather complex, and it is analyzed in detail through several different exercises,
we have produced separate macros for separate tasks.
Download: gl10insout (Eviews 5 to 8) or gl10insout_v4 (Eviews 4.1)
Download the macro above to generate a baseline solution. Then choose one (or maybe all) of the macros below to replicate exercises in the book.
Note that the macro INSOUT.PRG contains some inactive equations for alternative versions of the model. For instance, you may want to switch to asset demand functions governed by nominal interest rates by activating the corresponding equations, and deactivating the current equations where asset demands depend on real rates.
List of all variables in model INSOUT | |||||
ENDOGENOUS VARIABLES | EXOGENOUS VARIABLES AND PARAMETERS | ||||
A_D | Eq72 Demand for Central bank advances from commercial banks | ER_RBL | Expected rate of return on long term bonds | ||
A_S | Eq62 Supply of Central bank advances to commercial banks | G_K | Real government expenditures | ||
B_BD | Eq74 Government bills demanded by commercial banks | N_FE | Full Employment level | ||
B_BDN | Eq70 Notional demand for government bills from commercial banks | PR | Labour productivity | ||
B_CB | Eq60 Government bills held by Central bank | R_B_BAR | Interest rate on bills - set exogenously | ||
B_HD | Eq38 Demand for government bills | R_BL_BAR | Interest rate on bonds - set exogenously | ||
B_HH | Eq44 Government bills held by households | ||||
B_S | Eq54 Supply of government bills | BOT | Bottom value for bank net liquidity ratio | ||
BL_D | Eq39 Demand for government bonds | TOP | Top value for bank net liquidity ratio | ||
BL_H | Eq45 Government bonds held by households | BOTPM | Bottom value for bank profit margin | ||
BL_S | Eq55 Supply of government bonds | TOPPM | Top value for bank profit margin | ||
BLR | Eq75 Gross bank liquidity ratio | ||||
BLR_N | Eq71 Net bank liquidity ratio | αi | Par. influencing consumption | ||
BPM | Eq85 Banks | β | Par. in expectation formations on real sales | ||
C_K | Eq30 Real consumption | ε | Par. in expectation formations on real disposable income | ||
CG | Eq22 Capital gains on government bonds | γ | Speed of adjustment of inventories to the target level | ||
CONS | Eq32 Consumption at current prices | λij | Par. in households demand for financial assets | ||
F | Eq24 Realized profits of firms and banks | ω1,2 | Par. influencing the target real wage for workers | ||
F_B | Eq81 Realized banks profits | ω3 | Speed of adjustment of wages to target value | ||
F_CB | Eq64 Central bank | φ | Mark-up on unit costs | ||
F_F | Eq19 Realized firms profits | ρi | Reserve requirement parameters | ||
F_F_E | Eq12 Expected profits of firms | σi | Par. determining the target inventories to sales ratio | ||
G | Eq52 Government expenditures | τ | Sales tax rate | ||
H_BD | Eq69 Cash required by banks | ξb | Par. influencing the interest rate on deposits | ||
H_BS | Eq59 Cash supplied to banks | ξl | Par. influencing the interest rate on loans | ||
H_HD | Eq35 Households demand for cash | ||||
H_HH | Eq43 Cash held by households | Download: |
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H_HS | Eq65 Cash supplied to households | ||||
H_S | Eq58 Total supply of cash | ||||
IN | Eq17 Stock of inventories at current costs |
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IN_K | Eq15 Real inventories | to generate a baseline solution. |
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IN_K_E | Eq9 Expected real inventories | ||||
IN_K_T | Eq6 Target level of real inventories | Download: |
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L_D | Eq18 Demand for loans | ||||
L_S | Eq68 Supply of loans | if you want the complete Eviews workfile. |
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M1_H | Eq47 Checking deposits held by households | ||||
M1_HN | Eq46 Notional holdings of checking deposits | ||||
M1_S | Eq66 Checking deposits supplied by banks | ||||
M2_D | Eq37 Demand for term deposits - constrained to be non-negative | ||||
M2_H | Eq49 Term deposits held by households | ||||
M2_S | Eq67 Term deposits supplied by banks | ||||
N | Eq2 Employment level | ||||
NHUC | Eq11 Normal historic unit costs | ||||
ωT | Eq86 Target real wage for workers | ||||
P | Eq10 Price level | ||||
P_BL | Eq56 Price of government bonds | ||||
π | Eq20 Price inflation | ||||
PSBR | Eq53 Government deficit | ||||
R_A | Eq63 Interest rate on Central bank advances | ||||
R_B | Eq61 Interest rate on government bills | ||||
R_BL | Eq57 Interest rate on bonds | ||||
R_L | Eq82 Interest rate on loans | ||||
R_M | Eq76 Interest rate on deposits | ||||
RR_B | Eq41 Real interest rate on bills | ||||
RR_BL | Eq42 Real interest rate on long term bonds | ||||
RR_L | Eq8 Real interest rate on loans | ||||
RR_M | Eq40 Real interest rate on term deposits | ||||
S | Eq14 Sales at current prices | ||||
S_K | Eq13 Real sales | ||||
S_K_E | Eq5 Expected real sales | ||||
σS | Eq16 Realized inventories to sales ratio | ||||
σT | Eq7 Target inventories to sales ratio | ||||
T | Eq51 Taxes | ||||
UC | Eq4 Unit costs | ||||
V | Eq25 Wealth of households | ||||
V_E | Eq34 Expected households wealth | ||||
V_K | Eq29 Real wealth of households | ||||
V_NC | Eq26 Wealth of households, net of cash | ||||
V_NC_E | Eq36 Expected wealth of households, net of cash | ||||
W | Eq87 Wage rate | ||||
WB | Eq3 The wage bill | ||||
Y | Eq88 Output at current prices | ||||
Y_K | Eq1 Real output | ||||
YD_HS | Eq23 Haig-Simons measure of disposable income | ||||
YD_K_HS | Eq28 Haig-Simons measure of real disposable income | ||||
YD_K_R | Eq27 Regular real disposable income | ||||
YD_K_R_E | Eq31 Expected regular real disposable income | ||||
YD_R | Eq21 Regular disposable income | ||||
YD_R_E | Eq33 Expected regular disposable income | ||||
Zi | Eqs 48; 50; 73; 77; 78; 79; 80; 83; 84 Status variables |
Download: gl10insout1 (Eviews 5 to 8) or gl10insout1_v4 (Eviews 4.1)
Download the macro above to generate the charts in figures 10.1A to 10.1I.
Download: gl10insout2 (Eviews 5 to 8) or gl10insout2_v4 (Eviews 4.1)
Download the macro above to generate the charts in figures 10.2A to 10.2J.
Download: gl10insout3 (Eviews 5 to 8) or gl10insout3_v4 (Eviews 4.1)
Download the macro above to generate the charts in figures 10.3A to 10.3E.
Download: gl10insout4 (Eviews 5 to 8) or gl10insout4_v4 (Eviews 4.1)
Download the macro above to generate the charts in figures 10.4A to 10.4D.
Download: gl10insout5 (Eviews 5 to 8) or gl10insout5_v4 (Eviews 4.1)
Download the macro above to generate the charts in figures 10.5A to 10.5B.
Download: gl10insout6 (Eviews 5 to 8) or gl10insout6_v4 (Eviews 4.1)
Download the macro above to generate the charts in figures 10.6A to 10.6D.
Download: gl10insout7 (Eviews 5 to 8) or gl10insout7_v4 (Eviews 4.1)
Download the macro above to generate model INSOUTb and the charts in figures 10.7A to 10.7C.