The Jacobian matrix error

Hi, I got steady state with using the attached file,
dynarecode.mod (840 Bytes)

but the error says that
“The Jacobian matrix evaluated at the steady state contains elements that are not real or are infinite.”

FYI, I’m replicating the figure of Linnemann(2006).
would it be the problem related with initval? or other issues?
Thanks in advance :slight_smile:

You steady state for consumption is negative. There must be a mistake in the model.

thank you professor!
I will check the model again :slight_smile: