% Matlab File: plotimperbs.m

% Chapter 14.  Inflation stabilization

% ERBS with sticky prices, CIA, and separable preferences (log)

%June 2007

% This program is part of the book "Open Economy Macroeconomics in
% Developing Countries" (forthcoming MIT Press) by Carlos A. Vegh. Use of
% this program or modifications thereof should be acknowledged by citing
% this manuscript.  This program is a modification of the original
% King-Plosser-Rebelo programs. I am grateful to Guillermo Vuletin for his 
% help in writing this program.  


% This program is to be used after implmbs.m to plot impulse response functions
% Order of variables is: 
% States, exogenous, co-states, controls, and flows
% Date  k  e   epsilon   lambda  piN  cT  cN   i   TB   
%  1    2  3      4        5      6    7   8   9   10         


%  Program was modified to include the zero value in period zero
%  in the plot

%clg
%time = 1:nir;

time = 0:nir;
[dim1 dim2]=size(IR);
PIR = [zeros(1,dim2) 
       IR];
   
       

figure(1)

subplot(221), plot(time,PIR(:,4),'-',time,zeros(size(time)),'.')
title('Rate of devaluation')
xlabel('time')

subplot(222), plot(time, PIR(:,7),time,zeros(size(time)),'.')
title('Consumption of tradables')
xlabel('time')

subplot(223), plot(time,PIR(:,10),time,zeros(size(time)),'.') 
title('Trade balance')
xlabel('time')

subplot(224), plot(time, PIR(:,8),time,zeros(size(time)),'.')
title('Consumption of non-tradables')
xlabel('time')


% Date  k  e   epsilon   lambda  piN  cT  cN   i   TB   
%  1    2  3      4        5      6    7   8   9   10         


pause
%clg

figure(2)

subplot(221), plot(time, PIR(:,6),time,zeros(size(time)),'.')
title('Inflation of non-tradables')
xlabel('time')

subplot(222), plot(time,PIR(:,9),time,zeros(size(time)),'.')
title('Nominal interest rate (i)')
xlabel('time')

subplot(223), plot(time,PIR(:,2),time,zeros(size(time)),'.') 
title('Net foreign assets')
xlabel('time')

subplot(224), plot(time,PIR(:,3),time,zeros(size(time)),'.')
title('Real exchange rate')
xlabel('time')


clear time