NKM, ZLB, Heterogeneous Expectations, dynareOBC

@cfp @jpfeifer
Hello everyone!

In this model, I have added heterogeneous expectations to the nkm and would like to investigate it at the ZLB. The Taylor rule is applied.
Unfortunately, dynareOBC does not find a solution.

I would be very pleased about solution proposals and suggestions!
model.mod (2.9 KB)
Error message.txt (2.4 KB)

Ensure your model works in standard Dynare before trying DynareOBC.

The code without ZLB condition works:
comparison.mod (2.9 KB)
comparison output.txt (4.0 KB)

They are not the same. Your comparison has your steady state model block commented out. You cannot have both an initval and a steady state model block.

Just delete it in the DynareOBC version if it’s not needed.

If you want to be on the safe side, also:

  1. delete all variable names, latex etc,
  2. delete all equation tags,
  3. delete all code commented out with MATLAB style comments, not Dynare style ones.

The correct test is to run exactly the same MOD file that you want to use with DynareOBC with normal Dynare.

I seem to get an error when I try the steady command in my dynareOBC script
with ZLB.txt (3.9 KB)