Dear dynare team,
I tried to build a very simple 3-sector model based on the example given in the user guide. The model contains two intermediate good sectors and one final good sector. The inputs L and K (both total amounts are the same as in the user guide example) are used for the production of the intermediate goods. I checked the steady state in Excel to ensure it is the same as in the user guide example. However, if I run the model in Matlab, Matlab cannot find a solution and it seems that all variables that had no value assigned in the initval-block are equal to zero.
I very much appreciate help in this regard since I cannot find the error. Many thanks!
basic_ramsey_userguide_question.mod (3.0 KB)