Possibly incorrect value of omega in US_CCTW10 model

[chskcau]

I attended Prof. Wieland's Advanced Studies Programme course in Monetary Policy at the IfW Kiel last week. During the course, when we talked about the MMB, we noticed that the US_CCTW10 model has what appears to be an incorrect value of the parameter omega.

Specifically, line 107 of the file static/mmci-cli/models/US_CCTW10/US_CCTW10.mod has the following:

omega=0.5;//.2651;

which should likely be

omega=0.2651;

instead. The paper for this model, Cogan et al. (2010), lists 0.2651 as the posterior mean for this parameter (p. 294, table A1).

References

Cogan, J.F., T. Cwik, J.B. Taylor and V. Wieland. 2010. "New Keynesian versus Old Keynesian Government Spending Multipliers", Journal of Economic Dynamics and Control 34, pp. 281-295.