Hi.

In a RBC model we know that we have the perfect competition assumption, and therefore

P_{t}=MC_{t}

In some Real business cycle models researchers normalize the P_{t} to 1. Therefore

P_{t}=MC_{t}=1

In model equations we can derive an equation for marginal cost or for price level in optimization step of the firm. When we normalize P_{t} to 1 is it necessary to write price level equation or marginal cost equation in the model block equations in Dynare ?

Because I did not see the MC equation or price level equation in model block in these type of RBC models but in New Keynesian DSGE models I know that we enter MC equation in the model block equations in Dynare and we have incomplete competition and wages and prices stickness in New Keynesian DSGE models.