Problems open economy

Dynare help (legacy posts)
1

Hi, in my DSGE model of open economy and remittances, i have a problem, Dynare show this:

STEADY: numerical initial values incompatible with the following equations
6 7

??? Error using ==> dynare_solve
exiting …

Error in ==> steady_ at 124
[oo_.steady_state,check] = dynare_solve([M_.fname ‘_static’],…

Error in ==> steady at 52
steady_;

Error in ==> modelo6 at 145
steady;

Error in ==> dynare at 132
evalin(‘base’,fname) ;

please helpme.
modelo6.mod (687 Bytes)

2

You need to define proper initial values in your initval block, and notably for your variables lt and lnt.
More generally, as long as dynare reports a bug with “STEADY”, you have to work more on your initial values (of the initval bliock) to help dynare to find a correct steady state (nad thus be able to start simulations).