diff --git a/doc/dynare.texi b/doc/dynare.texi
index ea02204c9..417dc27e7 100644
--- a/doc/dynare.texi
+++ b/doc/dynare.texi
@@ -5085,12 +5085,6 @@ Specify the parameter set to use for running the smoother. The
 @code{posterior_median}. Default value: @code{posterior_mean} if
 Metropolis has been run, else @code{posterior_mode}.
 
-@item shocks = (@var{VARIABLE_NAME} [@var{VARIABLE_NAME} @dots{}]  [ ; @var{VARIABLE_NAME} [@var{VARIABLE_NAME} @dots{}] @dots{}] )
-@dots{}
-
-@item labels = ( @var{VARIABLE_NAME} [@var{VARIABLE_NAME} @dots{}] )
-@dots{}
-
 @item datafile = @var{FILENAME}
 @xref{datafile}. Useful when computing the shock decomposition on a
 calibrated model.
diff --git a/preprocessor/DynareBison.yy b/preprocessor/DynareBison.yy
index 0a8266a96..428097905 100644
--- a/preprocessor/DynareBison.yy
+++ b/preprocessor/DynareBison.yy
@@ -109,7 +109,7 @@ class ParsingDriver;
 %token <string_val> DATE_NUMBER
 %token INV_GAMMA_PDF INV_GAMMA1_PDF INV_GAMMA2_PDF IRF IRF_SHOCKS
 %token KALMAN_ALGO KALMAN_TOL SUBSAMPLES OPTIONS TOLF
-%token LABELS LAPLACE LIK_ALGO LIK_INIT LINEAR LOAD_IDENT_FILES LOAD_MH_FILE LOAD_PARAMS_AND_STEADY_STATE LOGLINEAR LYAPUNOV
+%token LAPLACE LIK_ALGO LIK_INIT LINEAR LOAD_IDENT_FILES LOAD_MH_FILE LOAD_PARAMS_AND_STEADY_STATE LOGLINEAR LYAPUNOV
 %token LYAPUNOV_FIXED_POINT_TOL LYAPUNOV_DOUBLING_TOL LYAPUNOV_SQUARE_ROOT_SOLVER_TOL LOG_DEFLATOR LOG_TREND_VAR LOG_GROWTH_FACTOR MARKOWITZ MARGINAL_DENSITY MAX MAXIT
 %token MFS MH_DROP MH_INIT_SCALE MH_JSCALE MH_MODE MH_NBLOCKS MH_REPLIC MH_RECOVER MIN MINIMAL_SOLVING_PERIODS SOLVE_MAXIT
 %token MODE_CHECK MODE_CHECK_NEIGHBOURHOOD_SIZE MODE_CHECK_SYMMETRIC_PLOTS MODE_CHECK_NUMBER_OF_POINTS MODE_COMPUTE MODE_FILE MODEL MODEL_COMPARISON MODEL_INFO MSHOCKS ABS SIGN
@@ -1009,24 +1009,6 @@ symbol_list_ext : symbol_list
                   }
                 ;
 
-list_of_symbol_lists : symbol_list ';' symbol
-                       {
-                         string *semicolon = new string(";");
-			 driver.add_in_symbol_list(semicolon);
-			 driver.add_in_symbol_list($3);
-		       }
-                     | list_of_symbol_lists  symbol
-                       { driver.add_in_symbol_list($2); }
-                     | list_of_symbol_lists COMMA symbol
-                       { driver.add_in_symbol_list($3); }
-                     | list_of_symbol_lists ';' symbol
-                       {
-                         string *semicolon = new string(";");
-			 driver.add_in_symbol_list(semicolon);
-			 driver.add_in_symbol_list($3);
-		       }
-                     ;
-
 signed_integer : PLUS INT_NUMBER
                  { $$ = $2; }
                | MINUS INT_NUMBER
@@ -2128,8 +2110,6 @@ shock_decomposition_options_list : shock_decomposition_option COMMA shock_decomp
                                  ;
 
 shock_decomposition_option : o_parameter_set
-                           | o_shocks
-                           | o_labels
                            | o_datafile
                            ;
 
@@ -2506,8 +2486,6 @@ o_simulation_type : SIMULATION_TYPE EQUAL DETERMINISTIC
                   | SIMULATION_TYPE EQUAL STOCHASTIC
                     { driver.option_str("simulation_type", "stochastic"); }
                   ;
-o_shocks : SHOCKS EQUAL '(' list_of_symbol_lists ')' { driver.option_symbol_list("shocks"); };
-o_labels : LABELS EQUAL '(' symbol_list ')' { driver.option_symbol_list("labels"); };
 o_ms_drop : DROP EQUAL INT_NUMBER { driver.option_num("ms.drop", $3); };
 o_ms_mh_replic : MH_REPLIC EQUAL INT_NUMBER { driver.option_num("ms.mh_replic", $3); };
 o_freq : FREQ EQUAL INT_NUMBER
diff --git a/preprocessor/DynareFlex.ll b/preprocessor/DynareFlex.ll
index 3ace8b33f..c7d95904c 100644
--- a/preprocessor/DynareFlex.ll
+++ b/preprocessor/DynareFlex.ll
@@ -547,7 +547,6 @@ string eofbuff;
 <DYNARE_STATEMENT>xls_range {return token::XLS_RANGE;}
 <DYNARE_STATEMENT>mh_recover {return token::MH_RECOVER;}
 <DYNARE_STATEMENT>planner_discount {return token::PLANNER_DISCOUNT;}
-<DYNARE_STATEMENT>labels {return token::LABELS;}
 <DYNARE_STATEMENT>calibration {return token::CALIBRATION;}
 
 <DYNARE_BLOCK>equation {return token::EQUATION;}
diff --git a/tests/shock_decomp_calibrated_model/example1_calib_shock_decomp.mod b/tests/shock_decomp_calibrated_model/example1_calib_shock_decomp.mod
index a4e372c6a..73e15ebc9 100644
--- a/tests/shock_decomp_calibrated_model/example1_calib_shock_decomp.mod
+++ b/tests/shock_decomp_calibrated_model/example1_calib_shock_decomp.mod
@@ -68,4 +68,4 @@ end;
 stoch_simul(periods=500, order=1, irf=0);
 varobs y c;
 shock_decomposition(parameter_set=calibration,datafile=example1_calib_shock_decomp_data) y c k;
-shock_decomposition(parameter_set=calibration,datafile=example1_calib_shock_decomp_data,shocks=(y)) y c k;
+