My model runs well for the computational part, but it doesn’t work for estimation. Actually, I just tried one series and estimating one parameter.

My specification about estimation is as follows:

varobs gy_obs;

estimated_params;

rhor,normal_pdf,0.6,0.1;

end;

estimation(datafile=TSJH_data,nobs=205,loglinear,mh_replic=0,mh_nblocks=5,mh_jscale=.;

The following is what I got.

??? Error using ==> dynare_estimation

There are complex values in the data. Probably a wrong transformation

Error in ==> TSJH_est_Oct9 at 216

dynare_estimation(var_list_);

Could anyone tell me what default transformation is done in Dynare, since the original data are just growth rate of GDP and the scale is 0.01.