Hello everyone

I create a simple RBC model to see how a fiscal rule (a lump-sum tax) works to stabilize the debt-gdp ratio

However, I check all the timing conditions of my variables and I cannot understand why the rank condition is not verified in my model.

The fiscal rule is very similar to the QUEST model one.

Public_debt_baseline.mod (2.7 KB)

I really appreciate any help you can provide