Error on deterministic simulation
Posted: Thu Jul 17, 2014 9:05 pm
I am using dynare to solve a simple RBC model with recursive preferences. The mod file is attached. I believe there is nothing wrong with the model because when do a stochastic simulation, with stoch_simul, there are no errors. Nevertheless, we a try to do a deterministic simulation, with simul, a get the following message:
Simulation terminated with NaN or Inf in the residuals or endogenous variables. There is most likely something wrong with your model.
Error in simul (line 126)
sim1;
Error in ezBasic (line 188)
simul();
Error in dynare (line 182)
evalin('base',fname) ;
Using model_diagnostic, I get:
model_diagnostic: the Jacobian of the static model is singular
there is 1 colinear relationships between the variables and the equations
Colinear variables:
C
K
R
M
V
U
Colinear equations
1 2 3 4 6 7
What could be the problem?
Simulation terminated with NaN or Inf in the residuals or endogenous variables. There is most likely something wrong with your model.
Error in simul (line 126)
sim1;
Error in ezBasic (line 188)
simul();
Error in dynare (line 182)
evalin('base',fname) ;
Using model_diagnostic, I get:
model_diagnostic: the Jacobian of the static model is singular
there is 1 colinear relationships between the variables and the equations
Colinear variables:
C
K
R
M
V
U
Colinear equations
1 2 3 4 6 7
What could be the problem?