﻿*** README FILE FOR PAPER: IDENTIFYING PRICE REVIEWS BY FIRMS: AN ECONOMETRIC APPROACH; JOURNAL OF MONEY, CREDIT AND BANKING ***
*** BY HARRIS, LE BIHAN SEVESTRE.
*** JUNE 2019
*** THIS IS THE 'README FILE' FOR REPLICATION FILES OF THE THEORETICAL SIMULATIONS: SECTION 3 OF PAPER.


This is a readme file to replicate the Monte Carlo simulations in the paper: 
Journal of Money Credit and Banking (2018); “Identifying Price Reviews by Firms: An Econometric Approach”; M. Harris, H. Le Bihan and P. Sevestre.

All files are written in the Gauss programming langage, utilising the CML add-in module: https://www.aptech.com/ 

* IOP_TOP_RE_MT.prc : procedure files, not for editing, that estimate all of the Inflated Ordered Probit, models.

* H2009_baseline.e : simulate data from theoretical model and estimate the IOP specification
Produces PANEL A and PANEL B of Table 1 in the paper            
 

* H2009_othervariables.e : simulate data from theoretical model and estimate the IOP specification
Produces PANEL C  of Table 1 in the paper                           


* H2009_added_cases.e : simulate data from theoretical model for extra parameters cases in the DGP  and estimate the IOP specification
Produces TABLE 2 in the paper    

* H2019_heterogeneity_both.e : simulate data from theoretical model under heterogeneity in DGP and estimate the IOP specification
Produces TABLE 3 in the paper 








Users should change the directories where the procedures files are stored.

Users using this code should reference the above paper.

Further information on the gauss codes and how to use them, can be obtained from Mark Harris (mark.harris@curtin.edu.au or mnharris0401@gmail.com)

Regards


The authors.