Hi,

As a beginner of dynare and DSGE model, when I try and run the attached mod file, it shows that 3 of the equations have non-zero residuals and 1 has NaN result. I wonder what should I do to make it right? Also, in the results, after the residuals of the static equations, it shows “randomize initial guess”, and all the residuals below it give a NaN. It shows 4 error information after the guess:

Error using print_info (line 32)

The steady state has NaNs or Inf.

Error in steady (line 102)

print_info(info,options_.noprint, options_);

Error in my.driver (line 594)

steady;

Error in dynare (line 293)

evalin(‘base’,[fname ‘.driver’]) ;

Could anyone help?

Thanks in advance!

Julius

my.mod (3.2 KB)