I was using the estimated_params_init(use_calibration) option in version 4.5.6 to initiate the parameter values in an estimation exercise…I have not used this option before.
Then I get the error
ERROR: The mode_file option of the estimation statement is incompatible with the use_calibration option of the estimated_params_init block.
This is a bit strange because I have not given a mode_file for the estimation! The mode file needs to be estimated and it is not saved yet!
The only difference from my usual syntax is that I set calibrated values in the shocks section as:
shocks; var epniid= std_epniid^2; var eptiid= std_eptiid^2; var ew= std_ew^2; end;
such that the scalars std_ have been declared before in the mod file.
I wonder if anyone has encountered this problem with the use_calibration option.