This material contains data and estimation codes for "Consumption, Reservaiton Wages and Aggregate Labor Supply" by Choonsung Park. 

* Software and operating system used: SAS, Matlab, MS Windows
* The order in which the programs need to run: See each section below. 
* Expected computation time: less than 30 min for data, 3~5 hours for each Matlab code depending on computing power.
* Random number generations for simulations are set within each code. 

1. "data_construction" folder

  - Download PSID raw data from https://psidonline.isr.umich.edu. After setting a directory properly in the codes, run sequentially A to D.
    The process generates the cleaned up data set, "individuals.txt," which is included in this folder.
    
2. "elasticity_estimation" folder
 
  -  Simply run individuals.m file, then it reads in the data "individuals.txt" and uses "convert.m" and "rq.m" to estimate the elasticities. 
     After it is finished, one can construct Table 1 in the paper by collecting elasticity estimates in the Matlab Workspace.

  -  For robustness exercises, one can obtain estimates in Table 8 by varying the variable w_R. The code also generates Figure 8.

3. "auxiliary_experiments" folder

   - In the "without_measurement_error" sub-folder, simply run "sim_nome.m". Then, Table 3, 4, 5 can be constructed from the Matlab
     Workspace, and Figure 7 is generated.

   - In the "with_measurement_error" sub-folder, there are 4 more folders. Each folder corresponds to each row in Table 7. In each folder,
     run "cut...m" file, and the results can be read off. Also, use contents in "cutmc3mw4" folder to generate Table 6 by varing w_R.