# Colinear equations problems

**URL:** <https://forum.dynare.org/t/colinear-equations-problems/5728>\
**Category:** Dynare help (legacy posts)\
**Created:** [22 August 2016 09:30 UTC](https://forum.dynare.org/t/colinear-equations-problems/5728 "2016-08-22T09:30:12Z")\
**Posts on this page:** 4\
**Page:** 1

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**Author:** ![aminapc](https://forum.dynare.org/letter_avatar_proxy/v4/letter/a/f07891/32.png) [@aminapc](https://forum.dynare.org/u/aminapc)\
**Post date:** [22 August 2016 09:30 UTC](https://forum.dynare.org/t/colinear-equations-problems/5728/1 "2016-08-22T09:30:12Z")

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Dear professor jpfeifer:  
When we run the modeltwo.mod file in dynare, the error information is coming up with the following message:  
………

model\_diagnostic: the Jacobian of the static model is singular  
there is 5 colinear relationships between the variables and the equations  
Relation 1  
Colinear variables:  
C\_d  
C\_i  
C\_fd  
C\_md  
C\_fi  
C\_mi  
gama\_dc  
gama\_ic  
gama\_md  
gama\_fd  
gama\_fi  
gama\_mi  
gama\_estr  
k  
i  
Y\_oil  
Y\_Fd  
L\_f  
K\_f  
rer  
x  
si  
T  
t\_d  
y  
im  
fr  
Relation 2  
Colinear variables:  
C\_d  
C\_fd  
C\_md  
gama\_dc  
gama\_md  
gama\_fd  
Relation 3  
Colinear variables:  
C\_d  
C\_i  
C\_fd  
C\_md  
C\_fi  
C\_mi  
gama\_dc  
gama\_ic  
gama\_md  
gama\_fd  
gama\_fi  
gama\_mi  
gama\_estr  
k  
i  
Y\_oil  
Y\_Fd  
L\_f  
K\_f  
rer  
x  
si  
T  
t\_d  
y  
im  
fr  
Relation 4  
Colinear variables:  
C\_d  
C\_i  
C\_fd  
C\_md  
C\_fi  
C\_mi  
gama\_dc  
gama\_ic  
gama\_md  
gama\_fd  
gama\_fi  
gama\_mi  
gama\_estr  
k  
i  
Y\_oil  
Y\_Fd  
L\_f  
K\_f  
rer  
x  
si  
T  
t\_d  
y  
im  
fr  
Relation 5  
Colinear variables:  
C\_d  
C\_i  
C\_fd  
C\_md  
C\_fi  
C\_mi  
gama\_dc  
gama\_ic  
gama\_md  
gama\_fd  
gama\_fi  
gama\_mi  
gama\_estr  
k  
i  
Y\_oil  
Y\_Fd  
L\_f  
K\_f  
rer  
x  
si  
T  
t\_d  
y  
im  
fr  
Relation 1  
Colinear equations  
Columns 1 through 18

```
 2 4 6 8 10 12 13 14 15 16 18 19 20 21 27 32 33 34

```

Columns 19 through 27

```
35 36 37 38 39 40 49 51 52

```

Relation 2  
Colinear equations  
Columns 1 through 18

```
 2 4 6 8 10 12 13 14 15 16 18 19 20 21 27 32 33 34

```

Columns 19 through 27

```
35 36 37 38 39 40 49 51 52

```

Relation 3  
Colinear equations  
Columns 1 through 18

```
 2 4 6 8 10 12 13 14 15 16 18 19 20 21 27 32 33 34

```

Columns 19 through 27

```
35 36 37 38 39 40 49 51 52

```

Relation 4  
Colinear equations  
Columns 1 through 18

```
 2 4 6 8 10 12 13 14 15 16 18 19 20 21 27 32 33 34

```

Columns 19 through 27

```
35 36 37 38 39 40 49 51 52

```

Relation 5  
Colinear equations  
Columns 1 through 18

```
 2 4 6 8 10 12 13 14 15 16 18 19 20 21 27 32 33 34

```

Columns 19 through 27

```
35 36 37 38 39 40 49 51 52

```

The presence of a singularity problem typically indicates that there is one  
redundant equation entered in the model block, while another non-redundant equation  
is missing. The problem often derives from Walras Law.  
Error using print\_info (line 42)  
Blanchard Kahn conditions are not satisfied: no stable equilibrium

Error in stoch\_simul (line 98)  
print\_info(info, options\_.noprint, options\_);

Error in modeltwo (line 841)  
info = stoch\_simul(var\_list\_);

Error in dynare (line 180)  
evalin(‘base’,fname) ;

In generally, how do we to solve the Colinear equations problems?

Thank you much for your help and support!  
The mod file as follows:  
[Modeltwo.mod](https://forum.dynare.org/uploads/default/original/2X/a/a6190bfc536ec1a3e9b9f645806e29e46ea96d95.mod) (10.7 KB)

---

<div class="post-metadata">

**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:** [22 August 2016 09:55 UTC](https://forum.dynare.org/t/colinear-equations-problems/5728/2 "2016-08-22T09:55:20Z")

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Just the usual generic advice: start with a simple® version of the model and see where the problem comes from. With a model that big, there is not much hope of debugging.

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**Author:** ![aminapc](https://forum.dynare.org/letter_avatar_proxy/v4/letter/a/f07891/32.png) [@aminapc](https://forum.dynare.org/u/aminapc)\
**Post date:** [22 August 2016 18:55 UTC](https://forum.dynare.org/t/colinear-equations-problems/5728/3 "2016-08-22T18:55:02Z")

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> [@jpfeifer](#):
>
> Just the usual generic advice: start with a simple(r) version of the model and see where the problem comes from. With a model that big, there is not much hope of debugging.

Hi Prof. Pfeifer,

Thank you so much for your reply.

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**Author:** ![xuz](https://forum.dynare.org/letter_avatar_proxy/v4/letter/x/8e7dd6/32.png) [@xuz](https://forum.dynare.org/u/xuz)\
**Post date:** [23 August 2016 22:56 UTC](https://forum.dynare.org/t/colinear-equations-problems/5728/4 "2016-08-23T22:56:29Z")

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Hi,  
my suggestion may goes into the wrong direction, but you might check the following:

1. The following endogenous variables aren’t present at the current period in the model:  
K\_f

2. Some of the collinearities may come from the existence of unit roots, which is treated by “model\_diagnostics” as an collinearity problem even your BK and rank conditions verified.

eigenvalues could be found at: oo\_.dr.eigval
