I have a weird problem that pops up from time to time that is driving me nuts. Basically, I have a model that seems to be working fine, then I add a trivial extra variable (or variables), which I set equal to a constant (for example a linear function of another variable, or a parameter, or a number). I then try to compute the steady state again, but now Dynare can’t find the steady state any more! I have tried setting initval to the correct steady state but this doesn’t help.
I have attached the latest example. In this case, the added variable is ‘G’, in line 99. Without G, Dynare works fine; adding G creates problems.
Can anybody help me with this? I would greatly appreciate!