def setUp(self):
"""
Prepare to compare the models by initializing and solving them
"""
# Set up and solve infinite type
import HARK.ConsumptionSaving.ConsumerParameters as Params
# Define a test dictionary that should have the same solution in the
# perfect foresight and idiosyncratic shocks models.
test_dictionary = deepcopy(Params.init_idiosyncratic_shocks)
test_dictionary['LivPrb'] = [1.]
test_dictionary['DiscFac'] = 0.955
test_dictionary['PermGroFac'] = [1.]
test_dictionary['PermShkStd'] = [0.]
test_dictionary['TranShkStd'] = [0.]
test_dictionary['UnempPrb'] = 0.
test_dictionary['T_cycle'] = 1
test_dictionary['T_retire'] = 0
test_dictionary['BoroCnstArt'] = None
InfiniteType = IndShockConsumerType(**test_dictionary)
InfiniteType.cycles = 0
InfiniteType.updateIncomeProcess()
InfiniteType.solve()
InfiniteType.timeFwd()
InfiniteType.unpackcFunc()
# Make and solve a perfect foresight consumer type with the same parameters
PerfectForesightType = PerfForesightConsumerType(**test_dictionary)
PerfectForesightType.cycles = 0
PerfectForesightType.solve()
PerfectForesightType.unpackcFunc()
PerfectForesightType.timeFwd()
self.InfiniteType = InfiniteType
self.PerfectForesightType = PerfectForesightType
do_simulation = True
# %%
# Make and solve an example perfect foresight consumer
PFexample = PerfForesightConsumerType()
# Make this type have an infinite horizon
PFexample.cycles = 0
# %%
start_time = time()
PFexample.solve()
end_time = time()
print("Solving a perfect foresight consumer took " +
mystr(end_time - start_time) + " seconds.")
PFexample.unpackcFunc()
PFexample.timeFwd()
# %%
# Plot the perfect foresight consumption function
print("Perfect foresight consumption function:")
mMin = PFexample.solution[0].mNrmMin
plotFuncs(PFexample.cFunc[0], mMin, mMin + 10)
# %%
if do_simulation:
PFexample.T_sim = 120 # Set number of simulation periods
PFexample.track_vars = ["mNrmNow"]
PFexample.initializeSim()
PFexample.simulate()
# %%