This repository contains replication and extension codes for Lanteri, Andrea, Pamela Medina, and Eugene Tan. "Capital-Reallocation Frictions and Trade Shocks." American Economic Journal: Macroeconomics 15, no. 2 (April 2023): 190–228. https://doi.org/10.1257/mac.20200429.
We (Hieu Nguyen, Yudong Rao, and Cristian Valencia) replicated and extended the model for our final project in the course '5725 Quantitative Methods in Macroeconomics' in Washington University in St. Louis. For presentation slides, see presentation slides.
We motivate the Covid shock in Peru with some data.
The code to generate this data is in the /Stata folder, in main.do.
We modify the code to study a 'persistent' Covid shock on the steady state after the China trade shock.
Run Matlab/master.m to regenerate all the figure in the presentation slides.
Generated figures are put in the folder Matlab/CHY_figures.