Preprocessing failed

I have quite simple code and try to simulate it on dynare 4.0.4. However i encounter following error message;

Configuring Dynare …
[mex] Generalized QZ.
[mex] Sylvester equation solution.
[mex] Kronecker products.
[mex] Sparse kronecker products.

Starting Dynare …
Starting preprocessing of the model file …
ERROR: homework1.mod:68.9-13: Symbol k is not a function name.

??? Error using ==> dynare at 96
DYNARE: preprocessing failed

I read most of the replies on this type of errors but i cannot fix my problem.
Could anyone helps me? Thanks
rbc1.mod (1.34 KB)


As the error message tells you, the error is on line 68, between columns 9 and 13.

At that place, you use “k(-1)” in an “initval” block. Leads and lags are forbidden at that place, and the parentheses are then interpreted as function calls, hence the error message.

Just replace “k(-1)” by “k” and this should fix your problem.