Hi everybody

I’ve been trying to estimate a DSGE model with Dynare but I keep getting the following error message:

dynare nk_est1

Configuring Dynare …

[mex] Generalized QZ.

[mex] Sylvester equation solution.

[mex] Kronecker products.

[mex] Sparse kronecker products.

Starting Dynare …

Starting preprocessing of the model file …

20 equation(s) found

Processing derivation …

Processing Order 1… done

Processing Order 2… done

Processing outputs …

Preprocessing completed.

Starting Matlab computing …

STEADY-STATE RESULTS:

lamd 3.84718e-015

c -2.22045e-016

b 0

m -1.66533e-016

e 0

r 1.28716e-015

h 1.77636e-015

w -2.22045e-015

y -4.88498e-015

k -1.77636e-014

a 0

i -1.59317e-014

xi 7.77156e-016

z 1.3288e-014

mu 1.28716e-015

pi 1.28716e-015

f 6.66134e-016

q 1.66533e-015

x 0

n -2.93099e-014

EIGENVALUES:

Modulus Real Imaginary

```
5.936e-019 5.936e-019 0
6.191e-014 -6.191e-014 0
0.001305 -0.001305 0
0.616 0.616 0
0.656 0.656 0
0.721 0.721 0
0.763 0.763 0
0.8771 0.8771 0
0.9786 0.9786 0
1.543 1.199 0.9709
1.543 1.199 -0.9709
Inf Inf 0
```

There are 3 eigenvalue(s) larger than 1 in modulus

for 5 forward-looking variable(s)

The rank conditions ISN’T verified!

??? Attempted to access k(1); index out of bounds because numel(k)=0.

Error in ==> draw_prior_density at 114

binf = abscissa(k(1));

Error in ==> plot_priors at 97

[x,f,abscissa,dens,binf,bsup] = draw_prior_density(i);

Error in ==> dynare_estimation_1 at 92

plot_priors

Error in ==> dynare_estimation at 62

dynare_estimation_1(var_list,varargin{:});

Error in ==> nk_est1 at 309

dynare_estimation(var_list_);

Error in ==> dynare at 102

evalin(‘base’,fname) ;

I am not be able to find the source of the problem. Any thoughts/advice would be greatly appreciated.

Many thanks!!!

data1.xls (18.5 KB)

nk_est1.mod (2.14 KB)