Please help. “numerical initial values incompatible with the following equations”! In these equations I define marginal utility of nonhousing consumption and housing consumption of the young and the old, respectively. My model is a two-period OLG model. I could not find problems in these equations. Please help. mod file is attached.
Configuring Dynare …
[mex] Generalized QZ.
[mex] Sylvester equation solution.
[mex] Kronecker products.
[mex] Sparse kronecker products.
[mex] Local state space iteration (second order).
[mex] Bytecode evaluation.
[mex] k-order perturbation solver.
[mex] k-order solution simulation.
[mex] Quasi Monte-Carlo sequence (Sobol).
Starting Dynare (version 4.3.0).
Starting preprocessing of the model file …
Substitution of endo lags >= 2: added 1 auxiliary variables and equations.
Found 37 equation(s).
Computing static model derivatives:
- order 1
Computing dynamic model derivatives:
- order 1
- order 2
Processing outputs …done
Starting MATLAB/Octave computing.
STEADY: numerical initial values incompatible with the following equations
3 4 5 6 7 8
Please check for example
i) if all parameters occurring in these equations are defined
ii) that no division by an endogenous variable initialized to 0 occurs
mymodel.mod (2.7 KB)