Dear all:

I am experiencing a problem solving a model with dynare 4

I am the junior user

I use non-linear equations ( even I use linear equations, it still have something wrong), and I get the 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 …

13 equation(s) found

Processing derivation …

Processing Order 1… done

Processing outputs …

Preprocessing completed.

Starting Matlab computing …

??? Error using ==> ss.inv

Cannot invert system with singular D matrix.

Error in ==> problem2 at 180

M_.params( 19 ) = ((1-M_.params(1))*(M_.params(1)/M_.params(15))^(M_.params(1)/(1-M_.params(1)))*exp(M_.params(17))^(1/(1-M_.params(1)))/(1+(Rss-1)*M_.params(10))/M_.params(6)/M_.params(5))^(1/(M_.pa

Error in ==> dynare at 102

evalin(‘base’,fname) ;

Do you have any suggestions about the causes of this error?

Thanks a lot

problem2.mod (2.06 KB)