Dr Dr Pfeifer

I am new user of Dynare. How can you tell your model that you assume zero steady state for your observed variables??

Many thanks

Dr Dr Pfeifer

I am new user of Dynare. How can you tell your model that you assume zero steady state for your observed variables??

Many thanks

You cannot

A steady state is a vector of variables that solve the entered model equations. What you can do is provide Dynare with initial values for finding the steady state (initval-block) or even the analytical steady state (steady_state_model-block). By default, if no values are provided, Dynare assumes a starting value of 0. If this is already the steady state consistent with the model equations, then you are done.