Hi!

I am not very experienced in working with dynare and I completely don’t know what I should do with such mistake…

Could you give me a hint?

Warning: BETAINV did not converge for a = 23.5125, b = 0.2375, p = 0.999.

In betainv at 61

In draw_prior_density at 47

In plot_priors at 55

In dynare_estimation_init at 253

In dynare_estimation_1 at 81

In dynare_estimation at 89

In mymodel at 267

In dynare at 180

Loading 56 observations from data_vkr.mat

ESTIMATION_CHECKS: There was an error in computing the likelihood for initial parameter values.

ESTIMATION_CHECKS: You should try using the calibrated version of the model as starting values. To do

ESTIMATION_CHECKS: this, add an empty estimated_params_init-block with use_calibration option immediately before the estimation

ESTIMATION_CHECKS: command (and after the estimated_params-block so that it does not get overwritten):

Error using *

Inner matrix dimensions must agree.

Error in kalman_filter (line 119)

QQ = R*Q*transpose®; % Variance of R times the vector of structural innovations.

Error in dsge_likelihood (line 646)

[LIK,lik] = kalman_filter(Y,diffuse_periods+1,size(Y,2), …

Error in initial_estimation_checks (line 47)

[fval,junk1,junk2,a,b,c,d] =

feval(objective_function,xparam1,DynareDataset,DynareOptions,Model,EstimatedParameters,BayesInfo,DynareResults);

Error in dynare_estimation_1 (line 179)

oo_ = initial_estimation_checks(objective_function,xparam1,dataset_,M_,estim_params_,options_,bayestopt_,oo_);

Error in dynare_estimation (line 89)

dynare_estimation_1(var_list,dname);

Error in mymodel (line 267)

dynare_estimation(var_list_);

Error in dynare (line 180)

evalin(‘base’,fname) ;

Thank you in advance!

mymodel_steadystate.m (2.05 KB)

mymodel.mod (2.58 KB)