A Software Package for LQG Dynamic Rational Inattention Problems (DRIPs)

This package provides a fast and robust method for solving LQG Dynamic Ratinoal Inattention Problems based on methods developed in Afrouzi and Yang (2019): Dynamic Rational Inattention and the Phillips Curve. For detailed documentation of the software, see the documentation page.

Installation

The package is registered in the General registry and can be installed at the REPL with ] add DRIPs.

Resources

• Afrouzi and Yang (2019): Dynamic Rational Inattention and the Phillips Curve
• GitHub Repository for Matlab code, Jupyter notebooks and earlier versions

Examples and Replications

to run and/or modify all example online (no software required on local machine) or download:

• Pricing with Rational Inattention without Feedback [HTML] [Jupyter notebook] [.jl file]
• Pricing with Rational Inattention with Endogenous Feedback [HTML] [Jupyter notebook] [.jl file]
• Replication of Mackowiack and Wiederholt (2009) [HTML] [Jupyter notebook] [.jl file]
• Replication of Sims (2010) [HTML] [Jupyter notebook] [.jl file]
• Replication of Mackowiack, Matejka and Wiederholt (2018) [HTML] [Jupyter notebook] [.jl file]
• Replication of the Quantitative Analysis in Afrouzi and Yang (2020) [HTML] [Jupyter notebook] [.jl file]