Resid (1) - Confusion!

Dynare help (legacy posts)
1

Dear All,

I use a resid(1) option to view the residuals of the static equation which in turn guides me what initial value i should change in the inival block. My model has a total of 38 equations and what i don’t understand is why dynare gives me a different set of non-zero equations?

for instance after using resid(1) or

steady; followed by check;

or steady(solve_algo=0) to steady(solve_algo=3) followed by check;

every time I get a different set of residual equations that demands my attention. Can anyone please explain why is it so?

Does that mean if I somehow manage to find a solution to my model let’s say with solve_algo=1, that same solution won’t hold for any other algorithm?

2

resid (1) prints the residuals given the current initial values. Directly after initval, they are the ones specified in this block. After a steady command, they are the residuals given the best-fitting values found during steady state search. That is why resid(1) typically belongs before a steady command and after initval.

3

Thanks alot!