LPSW2026_JFE_Replication

This code has been tested on MATLAB R2025b and requires the distrib_computing, econometrics, optimization, and statistics toolboxes to be installed. The last part of the code (Part4) requires that R is installed. The R code has been tested on version 4.2.1 (2022-06-23 ucrt). The main script to run the chain of programmes is named LPSW2026_JFE_Replication. To run these mFiles (files ending .m) it is necessary to open them up in the editor and then either hit F5 or mark sections of the code and then run using F9. Tables are created as stand-alone texFiles (files ending .tex) and are stored in the folder ./Tables/. Figures are printed as stand-alone pdfFiles (files ending .pdf) and are stored in the folder ./Figures/. Intermediate results are stored as matFiles (files ending .mat) in the folder ./_matFiles.