Hello everyone.
Im doing a model on Dynare than includes money, capital adjustment cost and seigniorage following for the most part section 9.4 of the ABCs of RBCs from McCandless.
Apart from that, I want to simulate 3 different shocks.
I already check my equations and the ss model and everything is on line with the book, however when I try to run my .mod it says that:
"Error using print_info
The steadystate file did not compute the steady state
Error in steady (line 102)
print_info(info,options_.noprint, options_);
Error in ejemplo2_parcial.driver (line 245)
steady;
Error in dynare (line 281)
evalin(‘base’,[fname ‘.driver’]);"
Professor Johannes told me that I have to de trend but I don’t know what’s the best way to do it or if I have to put something like “stoch_simul(irf=100, order=1, HP_FILTER)” on the last line of the code.
Any help will be much appreciate.
ejemplo2_parcial.mod (3.5 KB)