I am trying to solve a large system of log-linearized equations (essentially the log-linearized FOCs of a large multi-sector RBC model, model and data are here). The model works fine on smaller samples, however with 1662 equations and~1.800.000 pre-defined paramaters the preprocessor runs into trouble:
Using 64-bit preprocessor "/usr/lib/dynare/matlab/preprocessor64/dynare_m" KW_replic_reduced.mod minimal_workspace: Killed Starting Dynare (version 4.5.4). Starting preprocessing of the model file ... Found 1662 equation(s). Evaluating expressions...done Computing static model derivatives: - order 1 Error using dynare (line 225) DYNARE: preprocessing failed
I am wondering:
- Is this simply a problem of computational capacity or could it also be due to the parameterization?
- It seems to me that the RAM is the limiting factor. Would rerunning it on a stronger computer solve the problem (I am running it on 16GB RAM and Linux)?
- Is there anything else I can do about it except reducing the size of the model?