Hi professor, I am running a model to estimate parameters, however, It takes as long as more than one hour.Is it usual to take so long? In this model, there are 44 variables and 9 shocks. Is it because there are so many shocks so that it takes long?

I was eager to get some results. So that I delete 8 shocks and only estimate one parameter of beta (discount factor). However, it still takes as long as more than one hour. That puzzles me a lot. How can I speed up the estimation? Any suggestion is appreciated.

In addition, I came across another error before I delete 8 shocks. It said as follows:

I have no idea why this happens. However, when I truncate the estimated parameters to only one parameter (beta) and write it directly in .mod files, it didn’t appear. I still want to know how to solve this problem. I would appreciate a lot if you can give me any hint.

I upload my mod file which consists of all shocks and all estimated parameters. To summarize, I have to questions: first, how to solve the error of “The steady state file internally changed the values of the following estimated parameters”; Second, how to speed up the estimation.

test.zip (12.2 KB)