Problem with steadystate of labor

Steady state
1

Dear Professor Pfeifer,

I’m a little confused about the steadystate of labor in the model. As you said in other posts of the forum, it should be calibrated to 1/3 or so. While how about the model with heterogeneous household, e.g. Iacoviello and Neri (2010) ? They have four typies of labor : labor of patient household work in consumption sector and housing sector (n_c and n_h); labor of impatient household work in consumption sector and housing sector (n’_c and n’_h). I found that the steadystates of them are respectively：
n_c 0.76
n_h 0.17
n’_c 0.93
n’_h 0.26

It seems that they are not close to 1/3. How to explain this ？Would you please give me a hint ? Thank you for your time !

2

In their case, the parameters governing the steady states were estimated.

3

Dear Prof. Pfeifer,

I am working on the same paper and model (Iacoviello and Neri 2010). Could you please explain a little bit more about their strategy in finding the steady state if you are familiar with that? They have a CES function for Labour and I think finding the steady state by a paper and a pencil is not possible.
Should we use Dynare to find the steady state?
Is it neccessary to log-linearized the model to find the steday state?

Thanks in advance for your time.

4

Have a look at their appendix:
Iacoviello Neri 2010 - Housing Market Spillovers Evidence from an Estimated DSGE Model - Appendix.pdf (2.5 MB)

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