Analysing models with indeterminacy

Hey everyone,

From what I understand of the way Dynare functions, it seems to me that it is not possible to work with models where the Blanchard-Kahn conditions are not met.

However, I was wondering whether it would be possible to carry out the type of analysis presented in Lubik and Schorfheide’s (2004) “Testing for Indeterminacy: An Application to US Monetary Policy,” which explicitly deals with the case of indeterminacy? If not, is it something that might be implemented in future versions of Dynare?

Thank you very much!


It is possible and we are working on it, but it is still very far away:

Thank you very much for the quick reply! I look forward to seeing that functionality implemented in future versions of Dynare.

All the best,