merit1.mod (9.1 KB)
Solucion_Merit.m (2.2 KB)
steady_statemerit_SS.m (3.2 KB)
I am modeling an oil-importing economy, and I am calculating the steady state with numerical methods, but Dynare still tells me that I cannot find the steady state. I really don’t have what to do anymore
Put resid; before steady. You will see that your analytical steady state shows many residuals. Try debugging those equations. Focus particularly on equation 18. It has complex residuals. Most likely there is a mistake in the bracketing.