
Program developed for Morley, J. and A. Singh (forthcoming): "Inventory Shocks and the Great Moderation" Journal of Money, Credit, and Banking.

If you use the code, please cite the paper. 

The uc_si_ar2_bayes_mb_keta.g file is GAUSS code. It is compatible with GAUSS 13.
The s_di_y_i_14.txt file contains the aggregate data used in the paper, including the inventory stock data used in the robustness analysis.
The s_di_y_dg_14.txt file contains the durable goods data used in the robustness analysis.

The code reproduces the results in Section 4. Note that exact estimates will vary slightly from one run of the Markov-chain to another.

If you have questions about the code, please contact James Morley at james.morley@unsw.edu.au.

