GE (version 0.2.5)

gemOLGFTwoFirms: Overlapping Generations Financial Models with Two Firms

Description

Some examples of overlapping generations financial models with two firms.

Usage

gemOLGFTwoFirms(...)

Arguments

...

arguments to be passed to the function sdm2.

See Also

gemOLGFPureExchange

Examples

# NOT RUN {
#### an example with two-period-lived consumers
dst.firm.corn <- node_new(
  "corn",
  type = "CD", alpha = 5,
  beta = c(1 / 2, 1 / 2),
  "iron", "lab"
)

dst.firm.iron <- node_new(
  "iron",
  type = "CD", alpha = 5,
  beta = c(1 / 2, 1 / 2),
  "iron", "lab"
)

dst.age1 <- node_new(
  "util",
  type = "FIN",
  rate = c(1, ratio.saving.consumption = 1),
  "corn", "secy" # security, the financial instrument
)

dst.age2 <- node_new(
  "util",
  type = "Leontief", a = 1,
  "corn"
)

ge <- sdm2(
  A = list(
    dst.firm.corn, dst.firm.iron, dst.age1, dst.age2
  ),
  B = matrix(c(
    1, 0, 0, 0,
    0, 1, 0, 0,
    0, 0, 0, 0,
    0, 0, 0, 0
  ), 4, 4, TRUE),
  S0Exg = matrix(c(
    NA, NA, NA, NA,
    NA, NA, NA, NA,
    NA, NA, 1, NA,
    NA, NA, NA, 1
  ), 4, 4, TRUE),
  names.commodity = c("corn", "iron", "lab", "secy"),
  names.agent = c("firm.corn", "firm.iron", "age1", "age2"),
  numeraire = "lab"
)

ge$p
ge$D
ge$DV
ge$S

## an example with three-period-lived consumers
dst.age1$rate <- c(1, ratio.saving.consumption = 1 / 2)

dst.age3 <- Clone(dst.age2)

dst.age2 <- Clone(dst.age1)
dst.age2$rate <- c(1, ratio.saving.consumption = 1)

ge <- sdm2(
  A = list(
    dst.firm.corn, dst.firm.iron, dst.age1, dst.age2, dst.age3
  ),
  B = matrix(c(
    1, 0, 0, 0, 0,
    0, 1, 0, 0, 0,
    0, 0, 0, 0, 0,
    0, 0, 0, 0, 0
  ), 4, 5, TRUE),
  S0Exg = matrix(c(
    NA, NA, NA, NA, NA,
    NA, NA, NA, NA, NA,
    NA, NA, 1, 1, NA,
    NA, NA, NA, 1, 1
  ), 4, 5, TRUE),
  names.commodity = c("corn", "iron", "lab", "secy"),
  names.agent = c("firm.corn", "firm.iron", "age1", "age2", "age3"),
  numeraire = "lab",
  policy = function(time, state) {
    # Assume that unsold security will be void.
    last.Demand <- state$last.A %*% dg(state$last.z)
    secy.holding <- prop.table(last.Demand[4, ])
    if (time > 1) {
      state$S[4, 4:5] <- secy.holding[3:4]
    }
    state
  }
)

ge$p
ge$D
ge$DV
ge$S
# }