Hello people, I am new to dynare. My doubt is that I have log-linearised my model manually using Uhlig method. The log linearized equations usually contains steady state variables of endogenous variables.
Those steady state values of course depend on deep parameters.
During the iteration of estimation, the estimated parameter will be updated and the steady state values should also be updated accordingly. In some models, all steady state values could be express as some function of deep parameters explicitly. So I could replace those steady state by relationship with parameters and estimating those parameters.
It seems to me it is not possible to do that. I try to solve the steady state by hand. But unfortunately it is highly nonlinear, and I could not explicitly express this variable as function of estimated parameters.
My question is that, if it is not possible to express steady state values as explicit function of parameters, how could I do bayesian estimation, in particular make dynare keeping the dependence of steady state values on estimated parameters during iteration. Thanks for your help!!