Dear Forum,

I am a beginner in DSGE models and dynare and have a very basic question,

I am estimating a simple NK model with standard price and wage rigidities,

I was wondering if I should consider numerair in calculating steady state (taking one of prices equal to one), even when prices are stationarized (all nominal prices are divided by price of output to be transformed to reals). Or with real prices I should be able to calculate the steady state values?

Please help me if you can.

Thanks

Martin