I am trying to solve a general equilibrum using dynare and I have a issue with the following error message: Impossible to find the steady state (the sum of square residuals of
the static equations is 0.1926). Either the model doesn’t have a
steady state, there are an infinity of steady states, or the guess
values are too far from the solution.
As I am a beginner, I really would like to get some help!!
I also uploaded the code!
ps5.mod (626 Bytes)