# Blanchard Kahn conditions fails in a two-sector & two types of agents model

**URL:** <https://forum.dynare.org/t/blanchard-kahn-conditions-fails-in-a-two-sector-two-types-of-agents-model/11380>\
**Category:** Stochastic simulations\
**Created:** [15 February 2018 02:01 UTC](https://forum.dynare.org/t/blanchard-kahn-conditions-fails-in-a-two-sector-two-types-of-agents-model/11380 "2018-02-15T02:01:51Z")\
**Posts on this page:** 1\
**Showing post:** 2

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**Author:** ![jpfeifer](https://forum.dynare.org/user_avatar/forum.dynare.org/jpfeifer/32/5044_2.png) [@jpfeifer](https://forum.dynare.org/u/jpfeifer)\
**Post date:** [19 February 2018 18:39 UTC](https://forum.dynare.org/t/blanchard-kahn-conditions-fails-in-a-two-sector-two-types-of-agents-model/11380/2 "2018-02-19T18:39:26Z")

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It most probably has to do with your timing for capital and the two-sector structure. See

> [@Timing of capital in two sector economy](https://forum.dynare.org/t/timing-of-capital-in-two-sector-economy/2325):
>
> Hello all, I am building a two-sectoral model, and I have a question about the timing of sectoral-capital variables: In my model, T and N are sectors, hence kT is capital in sector T and kN is capital in sector N. Then, I assume that the economy’s aggregate capital is simply: k = kT + kN. However, I assume only one law of motion for aggregate capital such that: k = (1-delta)\*k(-1) + i - written in Dynare language. It is clear to me that k is a predetermined variable and should be treated as su…

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