I don’t know why the error “Log data density [Laplace approximation] is NaN. ”is reported. I tried many methods and it seems to be a problem with the model setting, but this is just the simplest New Keynesian model. test.mod (3.8 KB) test_data.m (3.1 KB)

You fix h=1/3; in steady state, but why should that be true for any value of alpha you estimate?

First of all, thank you very much for your reply. I tried to estimate other parameters. There was no problem when I estimated the technology shock and its persistence coefficient, but the same problem occurred when I estimated other parameters, such as government purchase shock and monetary policy s…

See [image] Steady-state negative Frisch Elasticity General DSGE Modeling The Frisch elasticity is still a parameter. I don’t understand what you are doing. When you calibrate labor in steady state, the disutility parameter needs to be adjusted accordingly. But that is dif…

How to solve:Log data density [Laplace approximation] is NaN

Estimation ML/Bayesian estimation

jpfeifer 11 November 2024 07:46 4

See

Anything that affects the steady state will have such a problem.