NEED HELP for dynare error

model1.mod (2.7 KB)

Dear all,
I was running a DSGE model based on Dynare. But I come up with the error:

EIGENVALUES:
Modulus Real Imaginary

       0.024            0.024                0
       0.256            0.256                0
      0.3409           0.3409              0
      0.4251           0.4251              0
       0.889            0.889                0
       0.889            0.889                0
        0.89             0.89                  0
           1                1                      0
           1                1                      0
       1.027           0.9712           0.3342
       1.027           0.9712          -0.3342
       1.034            1.034                0
         Inf             -Inf                      0
         Inf             -Inf                      0

There are 5 eigenvalue(s) larger than 1 in modulus
for 6 forward-looking variable(s)
The rank condition ISN’T verified!

Blanchard Kahn conditions are not satisfied: indeterminacy”.

Please find the mod file in the attachment.
I will be glad if one can help me,

Many thanks in advance,

Iris

Please carefully check the timing of your variables, this mostly is the cause of this kind of problem. Especially check your predetermined variables such as capital. There are plenty of posts in the forum with these kinds of issues.

Most likely you are missing

predetermined_variables kt;