%CASES   Compute the steady state for alternative parameterizations of model 3.
%

%        Ellen McGrattan, 4-11-11

disp('Alternative parameterizations: ')
disp('   1. Lump sum taxes')
disp('   2. McGrattan tax rates')
disp('   3. Barro-Redlick tax rate on labor; ')
disp('      Statuatory corporate income on profits')
disp('   4. Joines tax rates on labor and profits')
disp(' ')
disp('Note: other parameters set to match NIPA variables and hours')
disp(' ')
disp(' ')
icase   = input('Which case?  ');


gdp     = 1;
yn      = 0.3625;
y       = gdp-yn;
c       = 0.6807;
x       = 0.2612;
xn      = 0.1497;
xt      = x-xn;
g       = gdp-c-x;
kt      = 1.7157;
h       = 0.2892;
hn      = 0.0741;
NIPAbw  = 0.4231;
gn      = 0.01;
gz      = 0.019;
phi     = 0.00001;

%
% Pre-set parameters and normalization for q, deli
%
q       = 1;
beta    = 0.98;
gn      = 0.01;
gz      = 0.019;
phi     = 0.00001;
chi     = 0.5;
deli    = 0.0;
isymm   = 1;

%
% Tax rates used in different cases 
%

if icase==1;  % Lump sum taxes
  
  tauc    = 0.;
  tauh    = 0.;
  taub    = 0.;
  taux    = 0.;
  tauk    = 0.;
  taup    = 0.;
  tauu    = 0.;
  taud    = 0.;

end;

if icase==2; % McGrattan's tax rates (after filtering)
  
  tauc    = 0.0269;
  tauh    = 0.0322;
  taub    = 0.0322;
  taux    = 0.;
  tauk    = 0.0143;
  taup    = 0.1107;
  tauu    = 0.;
  taud    = 0.0847;

tauu=.05;

end;

if icase==3; % Barro-Redlick tax rate (on labor income)
  
  tauc    = 0.;
  tauh    = 0.0360;
  taub    = 0.0360;
  taux    = 0.;
  tauk    = 0.;
  taup    = 0.1107;
  tauu    = 0.;
  taud    = 0.;

end;

if icase==4; % Joines tax rates (used by Cole-Ohanian)
  
  tauc    = 0.;
  tauh    = 0.0351;
  taub    = 0.0351;
  taux    = 0.;
  tauk    = 0.;
  taup    = 0.2945;
  tauu    = 0.;
  taud    = 0.;

end;

param  = [y,yn,c,xt,xn,g,kt,h,hn,NIPAbw,tauc,tauh,taub,taux,tauk,taup, ...
          tauu,taud,gn,gz,phi,q,chi,deli,beta,isymm];

target  = mod3ss(param);
alph1   = target(1);
thet1   = target(2);
alph2   = target(3);
thet2   = target(4);
delt    = target(5);
psi     = target(6);
z1      = target(7);
z2      = target(8);

