# Prior distribution for parameter rhoA has unbounded density! **URL:** \ **Category:** ML/Bayesian estimation\ **Created:** [18 August 2023 08:39 UTC](https://forum.dynare.org/t/prior-distribution-for-parameter-rhoa-has-unbounded-density/22943 "2023-08-18T08:39:31Z")\ **Posts on this page:** 6\ **Page:** 1
**Author:** ![AaronYi](https://forum.dynare.org/letter_avatar_proxy/v4/letter/a/4da419/32.png) [@AaronYi](https://forum.dynare.org/u/AaronYi)\ **Post date:** [18 August 2023 08:39 UTC](https://forum.dynare.org/t/prior-distribution-for-parameter-rhoa-has-unbounded-density/22943/1 "2023-08-18T08:39:32Z")
Dear Professor, I am working on a midscale DSGE, and the thing is, calibrated model is working (with clear IRFs, except occurrence of a unit root, with Dynare version 5.3）， but when i run the estimated model, errors break out: ’ Prior distribution for parameter rhoA has unbounded density! Prior distribution for parameter rhoG has unbounded density! Prior distribution for parameter rhoB has unbounded density! Prior distribution for parameter rhox has unbounded density! Prior distribution for parameter rhof has unbounded density! Prior distribution for parameter rhob has unbounded density! DYNARE\_SOLVE (solve\_algo=2|4|12): the Dulmage-Mendelsohn decomposition returned a non-square block. This means that the Jacobian is singular. You may want to try another value for solve\_algo. Error in computing likelihood for initial parameter values ESTIMATION\_CHECKS: There was an error in computing the likelihood for initial parameter values. ESTIMATION\_CHECKS: If this is not a problem with the setting of options (check the error message below), ESTIMATION\_CHECKS: you should try using the calibrated version of the model as starting values. To do ESTIMATION\_CHECKS: this, add an empty estimated\_params\_init-block with use\_calibration option immediately before the estimation ESTIMATION\_CHECKS: command (and after the estimated\_params-block so that it does not get overwritten): ’ May i ask, do you have any clue that what should i do next to debug or fix this? Yours sincerely. P.S. the files: Uploading: LRtest\_swaddxi.mod… Uploading: LR\_sw\_xim\_esti.mod… [mydata.m](https://forum.dynare.org/uploads/short-url/f2keXbNhW85mDKFnFoOYMeYOpp7.m) (7.1 KB)(data for estimation, raw macro data have been processed for growth rates and logarithms.) ---
**Author:** ![AaronYi](https://forum.dynare.org/letter_avatar_proxy/v4/letter/a/4da419/32.png) [@AaronYi](https://forum.dynare.org/u/AaronYi)\ **Post date:** [18 August 2023 08:45 UTC](https://forum.dynare.org/t/prior-distribution-for-parameter-rhoa-has-unbounded-density/22943/2 "2023-08-18T08:45:15Z")
[LRtest\_swaddxi.zip](https://forum.dynare.org/uploads/short-url/vVmwi8SR4PhfmxFBnunci2QREoj.zip) (3.9 KB)(calibrated) [LR\_sw\_xim\_esti.zip](https://forum.dynare.org/uploads/short-url/6hVbkEM4Q0swATJ6hcUMgp82KHc.zip) (4.3 KB)(estimated) (the mod file cannot be uploaded directly, so i re-upload their zip format). ---
**Author:** ![jpfeifer](https://forum.dynare.org/user_avatar/forum.dynare.org/jpfeifer/32/5044_2.png) [@jpfeifer](https://forum.dynare.org/u/jpfeifer)\ **Post date:** [18 August 2023 09:07 UTC](https://forum.dynare.org/t/prior-distribution-for-parameter-rhoa-has-unbounded-density/22943/3 "2023-08-18T09:07:59Z")
That message signals a problem in steady state finding for the initial parameter draw. It seems just providing initial values is not sufficient, but rather you need to provide an analytical steady state. ---
**Author:** ![AaronYi](https://forum.dynare.org/letter_avatar_proxy/v4/letter/a/4da419/32.png) [@AaronYi](https://forum.dynare.org/u/AaronYi)\ **Post date:** [20 August 2023 08:24 UTC](https://forum.dynare.org/t/prior-distribution-for-parameter-rhoa-has-unbounded-density/22943/5 "2023-08-20T08:24:10Z")
I appreciate your reply, and may i ask, does manual calculation of steady state imply the “analytical steady state”?(Cause i don’t understand what is an analytical steady state 🙂 sry) Just like the figure below: ![微信图片_20230820160755](https://forum.dynare.org/uploads/default/original/3X/6/3/63b14694775b58dd580f72d1900e0cb3ec411c77.png)(‘var+s’ stands for steady state of variables) ---
**Author:** ![jpfeifer](https://forum.dynare.org/user_avatar/forum.dynare.org/jpfeifer/32/5044_2.png) [@jpfeifer](https://forum.dynare.org/u/jpfeifer)\ **Post date:** [21 August 2023 07:02 UTC](https://forum.dynare.org/t/prior-distribution-for-parameter-rhoa-has-unbounded-density/22943/6 "2023-08-21T07:02:33Z")
Yes, having explicit values is the difference from a numerically computed steady state. But it’s important to update these values for each parameter draw, i.e. it needs to be in a `steady_state_model`-block. ---
**Author:** ![AaronYi](https://forum.dynare.org/letter_avatar_proxy/v4/letter/a/4da419/32.png) [@AaronYi](https://forum.dynare.org/u/AaronYi)\ **Post date:** [5 September 2023 11:50 UTC](https://forum.dynare.org/t/prior-distribution-for-parameter-rhoa-has-unbounded-density/22943/7 "2023-09-05T11:50:07Z")
Thanks professor. After refering to your hard-working about specifying Observation Equations and dynare graphs, my files finally work (by adjusting observation equations and changing priors). Yours sincerely.