Page 1 of 1

convergence problems

PostPosted: Thu Jan 14, 2010 2:35 pm
by saulo
Hi, I'm doing a DSGE model with two sectors: tradables and not tradables, but in my model appear this messaje

??? Error using ==> steady_
STEADY: convergence problems

Error in ==> steady at 52
steady_;

Error in ==> sobrenatural4 at 140
steady;

Error in ==> dynare at 132
evalin('base',fname) ;

i don't now what is the problem, I work whit dynare 4.1

thanks!!

Re: convergence problems

PostPosted: Thu Jan 14, 2010 2:56 pm
by StephaneLhuissier
Put this steady state in the block "initval" :

initval;
ct = 2.52;
cn = 2.59804;
c = 6;
kt = 65997;
kn = 30.2608;
p = 1.33947;
b = -166393;
rem = 0;
k = 66027.2;
end;

That works but strange results. The model is correct ?

Re: convergence problems

PostPosted: Thu Jan 14, 2010 3:12 pm
by saulo
thanks, you are rigth, my model has a problem. how do you find the initvalues?

Re: convergence problems

PostPosted: Thu Jan 14, 2010 3:25 pm
by StephaneLhuissier
I just found the steady state by hand. You should find a tutorial - how to find the steady state -on google who explains that.