Hi, I would like some help to replicate the Andolfatto’s model presents in the article “Business Cycles and Labor-Market Search” (1996).
I have this error when trying to estimate the model.
"Error using stochastic_solvers (line 160)
2nd and 3rd order approximation not implemented for purely backward models
Error in resol (line 118)
[dr,info] = stochastic_solvers(dr,check_flag,M,options,oo);
Error in stoch_simul (line 76)
[oo_.dr,info,M_,options_,oo_] = resol(0,M_,options_,oo_);
Error in ando (line 181)
info = stoch_simul(var_list_);
Error in dynare (line 120)
evalin(‘base’,fname) ;"
Thanks for your help