Hi,
I have written a separate matlab program for calculating the steady states. Steady states of the different variables of my model, thus obtained , are fed as initvals in the dynare program. However, dynare cannot find steady states, if I specify these initial values, that were obtained from my matlab file. Cant understand why. Any suggestions will greatly help.
Use resid(1); to see the residuals after feeding in your initial values. The equations with residuals are the ones that you potentially entered incorrectly. If the equations are correct, your computations for the steady state are wrong.
Thanks. I will check this.