High variance and Moments NaN (variance decomposition)

Hello everyone,

I’m running a model, everything seems good but I receive bad results: theoretical moments have high or NaN std and variance. Thus I have bad variance decomposition.

Any idea of what’s wrong?
noroots.mod (6.62 KB)

Hi,

Run your model ones and then type: model_diagnostics(M_,options_,oo_). The message says you have one co-linear relationship, it also gives you the equations where this colinearity is coming from. Make sure that your model is well defined.

Kyriacos

Thanks, I am working on it