I am trying to replicate the Milani and Treadwell (2012) JMCB paper " The effects of monetary policy “news” and “surprises” without success.
The error that I get is:
??? Error using ==> print_info at 36
The generalized Schur (QZ) decomposition failed. For more information, see the documentation for
Lapack function dgges: info=32, n=32
Error in ==> check at 51
print_info(info, options_.noprint);
Please bring your mod-file in order. initval belongs before check. You should also put steady before check; and end the initval-block correctly with an end;
The problem with your file is that the parameter tilda uses sigma, but this is only defined later. steady will tell you this:
[quote]Warning: Some of the parameters have no value (tilda) when using steady. If these parameters are not initialized in a steadystate file, Dynare may not be able to solve the model…
In test_for_deep_parameters_calibration at 46
In steady at 33
In News at 408
In dynare at 147 [/quote]