As i recently upgraded matlab to R2013a,

I get a cholesky error message when my dynare code generate IRFs.

Even with the following simple code, I still get the error message.

```
var a, b;
varexo e, u;
parameters rho;
rho = 0.95;
model;
a = rho*a(-1) + e;
b = rho*b(-1) + u;
end;
shocks;
var e; stderr 1;
var u; stderr 1;
var e, u = 0.5;
end;
stoch_simul(order=1,irf=20);
```

Even if I get rid of correlation between two shocks (var e, u = 0;)

I keep receiving the error message.

Error using chol

Matrix must be square.

Error in irf (line 80)

VC_epschol = chol(VC_eps)’;

Error in stoch_simul (line 180)

y=irf(oo_.dr,cs(M_.exo_names_orig_ord,i), options_.irf, options_.drop, …

Error in test (line 84)

info = stoch_simul(var_list_);

Error in dynare (line 120)

evalin(‘base’,fname) ;

An older version of matlab does not have this problem.

Is there any compatibility problem between matlab R2013a and dynare 4.3.3?