Hello all!
I have been trying to implement a SAM model in Dynare, I succeeded in getting steady state values. However, the Blanchard-Khan condition is no satisfied even after revisiting my code several times.
Is it because of the indeterminacy that my model explodes even when I try to perform deterministic simulations?
Below are the Matlab and Dynare codes.
Thank you !
newinteraction.mod (4.4 KB)
steady_int.m (4.0 KB)