Optimal Fiscal Policy in a Linear Stochastic Economy
AbstractThis code supports the text in Thomas J. Sargent and Francois R. Velde, Optimal Fiscal Policy in a Linear Stochastic Economy, in Ramon Marimon and Andrew Scott (eds), Computational Methods for the Study of Dynamic Economies, Chapter 9, Oxford University Press. This chapter describes in detail how to solve the so-called Stokey-Lucas model of optimal taxation and to program it in Matlab. The state-process is either governed by a first order linear difference equation or a first order Markov Chain.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoSoftware component provided by Quantitative Macroeconomics & Real Business Cycles in its series QM&RBC Codes with number 130.
Programming language: Matlab
Date of creation: 1998
Date of revision:
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Christian Zimmermann).
If references are entirely missing, you can add them using this form.