CAVT
Description
Mathematica Files For simulations depicted in Figures 1-5 and Tables 2 and 4 of the paper Currency Areas and Voluntary Transfers by Pierre Picard and Tim Worrall. Journal of International Economics, November, 2020, Volume 127, number 103390. doi:10.1016/j.jinteco.2020.103390.
Files
Steps to reproduce
SIMULATIONS Simulations were done in Mathematica and are compatible with version 12.0. There are two separate Mathematica notebook files, CAVT1.nb and CAVT2.nb. CAVT1.nb covers the two-state case used in Figures 1-4 and Tables 2 and 4. CAVT2.nb is for the four-state case presented in Figure 5. The corresponding PDF versions are also available: CAVT1.pdf and CAVT2.pdf. The files can be run directly. Files are annotated to explain notation. Notation closely follows that of the paper, which is summarized in the file glossary.pdf. A letter c is added to indicate the currency area; a letter f to denote the flexible exchange rate regime; a 0 denotes a variable evaluates with no transfer; and a o denotes a variable with the optimal transfer. FIGURE PRODUCTION Labels for Figures are produced with MaTeX (see, http://szhorvat.net/mathematica/MaTeX for installation details). Figures can be reproduced from the file CAVTFigures.nb. Run the file CAVTFigures.nb after running both CAVT1.nb and CAVT2.nb. SUPPLEMENTARY APPENDIX The Supplementary Appendix file SupplementaryAppendix.pdf contains the derivations of equations (15) and (16) in the paper. CONTACT Comments or questions about the supplementary files can be addressed to the authors at pierre.picard (at) uni.lu or tim.worrall (at) ed.ac.uk.