Solved perfect foresight but rank condition not verified

Perfect foresight simulations
1

Hello,

Are results reliable if the model was solved using perfect foresight but an error : “Rank condition not verified” was printed during the process ?

Thanks!

2

Is it an error or a warning?

3

It don’t really know, it is just printed after the initial steady state is computed and just before the final steady state results.
Here is the message : "There are 10 eigenvalue(s) larger than 1 in modulus
for 9 forward-looking variable(s)

The rank condition ISN’T verified!"

At the end, I got : “1 warning(s) encountered in the preprocessor” but I think it is another one.

4

That message implies your model is unstable in the vicinity of your steady state. Typically, it is doubtful that your model is correct.

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