Dear Johanes, Hope you re doing well. I am trying to do a perfect foresight simulation of an OLG model but I cannot find the source of the problem. I suspect that it might be a timing issue (for example the timing of the bond interest rate) but I am not sure. Model diagnostics do not report any pro…

My hunch is that you have the issue at [image] Deterministic Simulation Non-Convergence Perfect foresight simulations The problem in your model is that the Jacobian of the contemporaneous endogenous variables is singular. This is not a problem for the stochastic solver, bu…

Perfect foresight simulation problem

Perfect foresight simulations

jpfeifer 6 April 2020 07:57 2

My hunch is that you have the issue at