- Using “initval” to give s.s value is same as you write all the s.s equation before the “model” right?
- After we define the parameters we need to give a value to each parameter or just some of them?
- under bayesian estimation, we dont have to set prior for every parameters, so how should we decide which one need to ?

- No, only the initval values are used as starting values for computing the steady state. When we are talking about a linearized model, the variables of the model even become different from the steady state values of the original variables of the nonlinear model, making the two completely different.
- You should always have a fully calibrated model first. See Remark 2 (Using stoch_simul before Estimation) in Pfeifer(2013): “A Guide to Specifying Observation Equations for the Estimation of DSGE Models” sites.google.com/site/pfeiferecon/Pfeifer_2013_Observation_Equations.pdf.
- In Bayesian estimation you need a prior for every parameter.