Dear Professor,

I built a DSGE model and below this is my code but during the running there appeared Blanchard & Kahn conditions are not satisfied: indeterminacy.

The code

cz.mod (11.1 KB)

Looking forward to your help

There seem to be various issues.

- Your model seems to be linearized, but the steady states are not, suggesting the presence of unwanted constants.
- You have
`min`

and`max`

-operators in your model that will not work with perturbation solutions. - Check your timing, particularly with respect to how the capital stocks enter the production functions.

Thank you very much for your help. I would like to confirm the solution to these problems you have raised.

First, for the first question, is the steady state log-linearized at the following position and after it?

For the second question, how do I combine min and max analysis and apply to the perturbation solution.

For the third question, do you mean the entry time in the following equation?

Dear Professor, I had just added two lines of code to the model, and then wondered why the results were worked out

This one is my new code

cz.mod (11.1 KB)