Hello,

I faced a problem when run a DSGE model with dynare, the error is "Blanchard Kahn conditions are not satisfied: indeterminacy".

Can anybody help me to find out what's the problem that i missed? I'll very appreciate about that. Thank you.

Attachment is my code and the error message that dynare shows:

Error in stoch_simul (line 98)

print_info(info, options_.noprint, options_);

Error in coop_nash_thesis (line 304)

info = stoch_simul(var_list_);

Error in dynare (line 180)

evalin('base',fname) ;

model_diagnostic: the Jacobian of the static model is singular

there is 1 colinear relationships between the variables and the equations

Colinear variables:

y

b

g

Colinear equations

1 4 5 7 10 11

The presence of a singularity problem typically indicates that there is one

redundant equation entered in the model block, while another non-redundant equation

is missing. The problem often derives from Walras Law.