Problems about steady state calculation，resid: The initial values for the steady state of the following variables are complex:

c_t

lambda_t

k_t

B_t

i_t

x1_t

x2_t

y_t

wk_t

g_t

tau_t

maincode.mod (20.4 KB)

and If I use the command (steady;) to solve the steady state value, I can’t find the model steady state,really hope anyone can help me！thanks a lot!

In

```
ws = (1 - alpha) * (alpha^alpha*mcs / zs^alpha)^(1/(1-alpha)) ; %Çó³öws;
```

the `zs`

is negative, resulting in complex values. Use F9 in Matlab to sequentially execute the parameter settings to see this.

Dear Professor J.Pfeifer,

thanks a lot for your reply. I have modified the parameter calibration value according to your suggestion, I use an external m file to solve the steady state value，after running, “There are 12 eigenvalue(s) larger than 1 in modulus for 11 forward-looking variable(s)” and “Blanchard Kahn conditions are not satisfied: no stable equilibrium” appears. Looking forward to your reply, thank you in advance!

Sincerely yours,

Lone

maincodea (2).zip (20.7 KB)

Did you check different parameterizations of e.g. your fiscal rule? Your model does not have a stable solution, so maybe debt is explosive. The other hint, as always: recheck your timing.