diff --git a/tests/discretionary_policy/Gali_discretion.mod b/tests/discretionary_policy/Gali_discretion.mod index 4324a0f47..fc596311e 100644 --- a/tests/discretionary_policy/Gali_discretion.mod +++ b/tests/discretionary_policy/Gali_discretion.mod @@ -130,7 +130,7 @@ end %Compute theoretical objective function V=betta/(1-betta)*(var_pi_theoretical+alpha_x*var_y_gap_theoretical); %evaluate at steady state in first period -if abs(V-oo_.planner_objective_value)>1e-10 +if isnan(oo_.planner_objective_value) || abs(V-oo_.planner_objective_value)>1e-10 error('Computed welfare deviates from theoretical welfare') end end; @@ -144,6 +144,6 @@ end; V=var_pi_theoretical+alpha_x*var_y_gap_theoretical+ betta/(1-betta)*(var_pi_theoretical+alpha_x*var_y_gap_theoretical); %evaluate at steady state in first period discretionary_policy(instruments=(i),irf=20,discretionary_tol=1e-12,planner_discount=betta) y_gap pi p u; -if abs(V-oo_.planner_objective_value)>1e-10 +if isnan(oo_.planner_objective_value) || abs(V-oo_.planner_objective_value)>1e-10 error('Computed welfare deviates from theoretical welfare') end