%
% Output equation
%
a11=-1.4;
a12=-1.4;

a21=0.2;
a22=0.2;

a31=1;
a32=1;

a41=0.1;
a42=0.1;

%
% Money demand equation
%
b11= 1;
b12= 1;
b21= -4;
b22= -4;

%
% Persistence
%
% Fiscal shock
%
rg11=0.2;
rg22=0.2;
rg12=0.0;
%
% Money demand shock
%
re11=0.5;
re22=0.5;
re12=0.0;
%
% consumption price
%
%
% Variance-covariance matrix
%
%s1=[0.02 0.00004 0.00004;0.00004 0.02 0.00024;0.00004 0.00024 0.02];
%s2=[0.03 0.00009 0.00009;0.00009 0.03 0.00045;0.00009 0.00045 0.03];
%SEE=[s1 zeros(3);zeros(3) s2];

SEE=[[0.02 0 ;0 0.02] zeros(2);zeros(2) 0.03*eye(2)];
%SEE=eye(6);
