function [fval] = sfile(z)
global M_ 
%%
NumberOfParameters = M_.param_nbr;                            % Number of deep parameters.
for i = 1:NumberOfParameters                                  % Loop...
  paramname = deblank(M_.param_names(i,:));                   %    Get the name of parameter i. 
  eval([ paramname ' = M_.params(' int2str(i) ');']);         %    Get the value of parameter i.
end   
%%
%%
Y_H =z(1);
Y_U =z(2);
%P_sc_H=z(3);
P_sc_U=z(3);
% Bs_H = z(6);
% Bs_U = z(7);
%%
%% Exchange rates
%%
% rer_H      =   1;
% rer_U      =   1/rer_H;
%%
%% Home
%%
%%
P_sd_H = 1;
P_sc_H = 1;
r_k_H = (1/betta - (1-dlt));

w_H   = (   (1    -   (1-dlt_l)*r_k_H^(r_v/(r_v-1)))/dlt_l  )^((r_v-1)/r_v);

K_H  =   (1-dlt_l)*(1/r_k_H)^(1/(1-r_v))*Y_H;
L_H  =  dlt_l*(1/ w_H)^(1/(1-r_v))*Y_H;

rer_H = ( (1/dlt_mc_H)*(P_sc_U)^(r_c/(r_c-1)) - ((1-dlt_mc_H)/dlt_mc_H)*(P_sc_U/P_sc_H)^(r_c/(r_c-1))    )^((r_c-1)/r_c);
rer_U = 1/rer_H;
P_sm_H      =	rer_H*P_sc_H/P_sc_U;

%fval(3) = P_sc_H - (   (1-dlt_mc)*P_sd_H^(r_c/(r_c-1))   +   dlt_mc*P_sm_H^(r_c/(r_c-1))  )^((r_c-1)/r_c);

C_H = (chi0*(P_sc_H /w_H)*(1-L_H)^(-chi))^(-1 /sig)*(1 /(1-kappa));
C_d_H =   (1-dlt_mc_H)*(P_sc_H)^(1/(1-r_c))*C_H;

I_d_H=dlt*K_H; 

M_c_H   = dlt_mc_H*(P_sc_H/P_sm_H)^(1/(1-r_c))*C_H;

%%
%%
P_sd_U = 1;
P_sm_U		=	rer_U*P_sc_U/P_sc_H;

fval(3) = P_sc_U - (   (1-dlt_mc_U)*P_sd_U^(r_c/(r_c-1))   +   dlt_mc_U*P_sm_U^(r_c/(r_c-1))  )^((r_c-1)/r_c);

r_k_U = (1/betta - (1-dlt));


w_U       = (   (1    -   (1-dlt_l)*r_k_U^(r_v/(r_v-1)))/dlt_l  )^((r_v-1)/r_v);

% mc_U      =  ((1-dlt_oy_U)*lmbd_sv_U^(r_o/(r_o-1))   +   dlt_oy_U*P_so_U^(r_o/(r_o-1))  )^((r_o-1)/r_o);
K_U  =   (1-dlt_l)*(1/r_k_U)^(1/(1-r_v))*Y_U;
L_U  =  dlt_l*(1/ w_U)^(1/(1-r_v))*Y_U;

C_U = (chi0*(P_sc_U /w_U)*(1-L_U)^(-chi))^(-1 /sig)*(1 /(1-kappa));
C_d_U =   (1-dlt_mc_U)*(P_sc_U)^(1/(1-r_c))*C_U;

I_d_U=dlt*K_U;

M_c_U   = dlt_mc_U*(P_sc_U/P_sm_U)^(1/(1-r_c))*C_U;

%%
%%
X_H = P_sm_U*M_c_U;
X_U = P_sm_H*M_c_H;

%%
%%

fval(1) = Y_H - C_d_H - I_d_H  - (X_H );

fval(2) =  Y_U - C_d_U - I_d_U - (X_U );