Hey Johannes,
I returned to trying to solve this in dynare after making solving it in another software and trying to use its implied initial conditions. I was reading a thread about supplying an external steady state file (Steady state file) and followed the methodology, but it seems to not work. The error that comes up is:
??? Error using ==> print_info at 37
The generalized Schur (QZ) decomposition failed. For more information, see the
documentation for Lapack function dgges: info=11, n=9. You can also run model_diagnostics
to get more information on what may cause this problem.
Note the model diagnostics says that the shock equations are collinear – those are the last four equations in the dynare file that specify the process and then take exp(shock).
If you have a minute, could you check the external steady state file? I use homotopy to solve a simpler version of the steady state. It works outside of dynare – it’s what I use for my steady state computations. To get the Dynare file to run, just run this in a separate script:
clear all; close all; clc;
cd ‘[where you saved the parameter file]’
P = parameters; %make sure these are updated
beta=P.beta; chipp=P.chipp; chifw=P.chifw; psipp=P.psipp; psifw=P.psifw;
xi=P.xi; gamma=P.gamma; pipp=P.pipp; se_h=P.se_h; se_pp=P.se_pp; rho_h=P.rho_h; rho_pp=P.rho_pp;
eta=P.eta; tau_c=P.tau_c; tau_i=P.tau_i; tau_n=P.tau_n; tau_k=P.tau_k; tau_marg=P.tau_marg; delta=P.delta;
iota=P.iota; alpha=P.alpha;
cd '[where you saved the dynare files]
save parameterfile beta chipp chifw psipp psifw xi alpha gamma pipp eta iota se_h se_pp rho_h rho_pp delta tau_c tau_i tau_n tau_k tau_marg;
dynare hkgrowth.mod; %addpath C:\dynare\4.4.2\matlab
parameters.m (619 Bytes)
hkgrowth_steadystate.m (3.09 KB)
hkgrowth.mod (3.72 KB)