code_readme.nb

Description of the code for replication

Run the whole document: run meta_run.py in the run folder.

How the code works:

Step 1 : 
meta_run.py (run folder) checks if the study is well defined.

Step 2:
run_meddicci_tp.py (model folder) executes all functions
a. Upload parameter values and compute exogenous trends.
b. Definition of functions: utility, damage factor, economic & climatic variables.
c. Functions for approximation with Chebyshev polynomials (number of polynomials, nodes, Bellman, bounds).
d. Definition for Bellman functions: maximum for instantaneous utility, terminal value, law motion for state variables.
e. Definition of approximation intervals.
f. i interpolations per period from last to first period by minimization of Bellman functions based on the guess.
g. One simulation from first to last period based on the interpolation.

Step 3: 
back to meta_run.py
a. Calculation of economic and climatic variables
b. Calculation of the SCC along the optimal path.

Step 4: 
Stochasticdraw3.py
Stochastic simulations to have the values for the decomposition.


How to change the values for the runs? 
1/ Change the parameters: go to parameter folder.
2/ Define the runs: go to run folder and change the Excel "study" (new Excel file and/or define specific runs to be computed).
3/ Change the number of draws and the runs that should be run multiple times: meta_run.py
4/ Run for additive or risk-sensitive preferences: if additive preferences, make sure epsilon_b=0.