I am not able to solve a (nonlinear) model as dynare reports that there are convergence problems in computing the steady state. The steady state relations are derived analytically by hand.
I know that all the residual equations equations should be ideally equal to zero. I have 4 equations, out of 65, for which this does not hold. However, they look like this:
Hence they very close to zero. I am wondering whether these nonzero residuals, despite being very close to zero, could be at the source of the problem. I am tempted to think it should not, as I have seen other models running with higher residuals. Could it then be that the model does not have a steady state at all? Is there a way to get a better clue on the source of the problem? I am wondering, for example, whether there is a way to get dynare give you more information about the problem that is behind the message of following type:
SOLVE: maxit has been reached
??? Error using ==> steady_ at 132
STEADY: convergence problems