Error using initial estimation check


datatr.m (4.0 KB)
Paper1.mod (5.6 KB)
Dear experts,
We are trying to find the Natural interest rate using our DSGE model. However, we are getting the error in the attachment. Our files are in the attachment, we would be very happy if you could help us with this.

Try dropping one of the observables.

Hi Dear Professor thanks for your response. However, in my case, the number of shocks are equals to number of observables. And now I am getting the error at the attachment. What can your suggestion to me to get rid of this error. Sincerely yours. cumhur


Paper1.mod (5.5 KB)
datatr.m (4.0 KB)

You used a comma as the decimal separator in your data file. That results in data issues on my machine.

I solved problem thank you dear professor. however I get following error. If you can help me I will be very glad . I attached data and mod file. Thank you.

Error using print_info
Error using print_info
Likelihood is not a number (NaN) or a complex number

Error in initial_estimation_checks (line 305)
print_info(info, DynareOptions.noprint, DynareOptions)

Error in dynare_estimation_1 (line 159)
oo_ = initial_estimation_checks(objective_function,xparam1,dataset_,dataset_info,M_,estim_params_,options_,bayestopt_,bounds,oo_);

Error in dynare_estimation (line 118)
dynare_estimation_1(var_list,dname);

Error in Paper1.driver (line 423)
oo_recursive_=dynare_estimation(var_list_);

Error in dynare (line 278)
evalin(‘base’,[fname ‘.driver’]);

datatr.m (3.9 KB)
Paper1.mod (5.6 KB)

The relevant error message is

Warning: kalman_filter_d: There isn't enough information to estimate the initial conditions of the nonstationary variables. The diffuse Kalman filter never left the diffuse stage. 
> In missing_observations_kalman_filter_d (line 137)
In dsge_likelihood (line 311)
In initial_estimation_checks (line 207)
In dynare_estimation_1 (line 169)
In dynare_estimation (line 105)
In Paper1.driver (line 707)
In dynare (line 304) 

That sounds like an issue in your setup.