Hi there! I am struggling to replicate this paper: Greenwood, J., Hercowitz, Z., Krusell, P., 2000. “The role of investment-speciﬁc technological change in the business cycle”.

I have derived all equations in the paper, calculated steady state. The only simplifications I made were to set TFP = z= 1, and use rate of capital h = 1.

However, I keep getting same error over and over again in Dynare: Error using print_info (line 76)

The steadystate file did not compute the steady state

Error in steady (line 104)

… ;

Residuals of the static equations:

Equation number 1 : -0.032

Equation number 2 : 0

Equation number 3 : -3.4391

Equation number 4 : 0.10797

Equation number 5 : 0

…

I do not understand which equations I should check to see where is the problem. For example, when there are residuals seen in “Equation number 1” - which exactly equation is this in the mod file? Please can you help or advise me? I very much hope that you will respond me.