Problem with the check command

Dear all,

I wanted to know if the check command is mandatory for PF simulations. If I take it out from my file, the code works just fine. Same if I put check after the initval block. However, if I put it after the endval block, I have an error message : “the generalized Schur (QZ) decomposition failed. For more information, see the
documentation for Lapack function dgges”

Thank you in advance.

From the dynare manual:

Command: check(OPTIONS…);
Computes the eigenvalues of the model linearized around the values specified by the last initval,
endval or steady statement. Generally, the eigenvalues are only meaningful if the linearization is done around a steady state of the model. It is a device for local analysis in the neighborhood of this steady state.

So where you put the check; statement matters. But as it says, it should generally be put after the steady; statement.

You need to think a bit more about what is going on. At your initial steady state, the BK conditions seem to be satisfied, but at your terminal one there is a singularity. That may be helpful to detect the source of non-convergence if that becomes an issue. But the command itself is not necessary.

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