% % ex7F is a matlab function that defines the eulers % at the 'steady-state' for a rbc model % function [q] = ex7F(x,psi,alpha,delta,beta,thetabar) % ----- define marginal utilities ----- % muc = x(1)^-1; mul = psi*(1-x(2))^(-1) ; % ----- define marginal products ----- % mpn = (1-alpha)*thetabar*x(2)^(1-alpha-1)*x(3)^(alpha) ; mpk = (alpha)*thetabar*x(2)^(1-alpha)*x(3)^(alpha-1) ; % ----- define eulers ----- % r1 = muc - beta*muc*(mpk+(1-delta)) ; r2 = mul - muc*mpn ; % ----- define resource constraint ------ % r3 = thetabar*x(2)^(1-alpha)*x(3)^(alpha) - x(1) + (1-delta)*x(3) - x(3) ; % ----- define the equations to be returned ----- % q = [r1,r2,r3];