Dynare forums

I am trying to solve the simple cia model in Walsh's book page 112. I am unable to make the model converge. It is saying that the B-K conditions is not satisfied. Yet when I solve the model not using dynare but using Uhlig toolbox for example, I can get a solution. Where am I going wrong here. The file is posted as well as the equations. Any help would be appreciated. Thanks

1) Did you check the errata on Walsh web site?
2) eq (20) doesn't match the *.mod file
3) eq (23) has an erroneous -1 at the end in the *.mod file
4) it won't matter for order 1, but you can't combine the expectation, the way that you are doing: E(X)E(Y) isn't equal to E(XY)

Best

Michel