In this small repository, I collect my attempts at including price indexation into the small- and medium-scale New Keynesian (NK) models provided by the econpizza package by Gregor Böhl, PhD.
With the run_nk_price_indexation.py file you can get the inflation impulse response functions of the small-scale NK model without and with price indexation (the respective yaml files are in the small_scale_nk_models file) and plot the results to compare. These impulse response functions reflect the dynamics of these models after a shock to the discount factor,
With the run_med_scale_nk_price_indexation.py file you similarly obtain the responses of the medium-scale NK model without and with price indexation. For the solution here, I am very grateful to my fellow student, Sven, for his help!
In case you spot an error, please let me know!