Dynare++ tutorial

[Dusseldorff]

Hi, I’m trying to learn Dynare++ but when I try to run the example file in the tutorial (Jan 2011 version) I get the following error:

C:\dynare\4.2.1\dynare++>dynare++ NGM.mod
Caught ogu::Exception: dynamic_atoms.cpp:470: A wrong lag/lead of a variable in
VarOrdering::do_pbspbfbf

As far as I can tell, I’ve copied the code exactly but I keep getting the error even if I replace all the equations with 0s.

var Y, C, K, A, H, B;
var exo EPS, NU;
parameters beta, rho, alpha, delta, theta, psi, tau;

alpha = 0.36;
rho = 0.95;
tau = 0.025;
beta = 1/(1.03^0.25);
delta = 0.025;
psi = 0;
theta = 2.95;

model;
CthetaH^(1+psi) = (1-alpha)Y;
betaexp(B)C/(exp(B(1))C(1))(exp(B(1))alphaY(1)/K(1)+1-delta) = 1;
Y = exp(A)K^alphaH^(1-alpha);
K = exp(B(-1))(Y(-1)-C(-1)) + (1-delta)K(-1);
A = rhoA(-1) + tauB(-1) + EPS;
B = tauA(-1) + rho*B(-1) + NU;
end;

initval;
A = 0;
B = 0;
H = ((1-alpha)/(theta*(1-(delta*alpha)/(1/beta-1+delta))))^(1/(1+psi));
Y = (alpha/(1/beta-1+delta))^(alpha/(1-alpha))*H;
K = alpha/(1/beta-1+delta)Y;
C = Y - deltaK;
end;

vcov = [0.0002 0.00005;
0.00005 0.0001];

order = 7;

[sebastien]

There is a typo in your example. It should read “varexo” (without space) and not “var exo”.

I admit that the error message is not very explicit…