help with a code

[jugowar]

Can anyone help with the execution of this two-sector growth model code? The SS values are correctly given to the model but I consistently obtain a warning that they are not correct.

[jpfeifer]

If you use

Code: Select all

resid(1)

before

Code: Select all

steady;

you will get

Residuals of the static equations:

Equation number 1 : 0.1168
Equation number 2 : 0.52869
Equation number 3 : -0.22288
Equation number 4 : -0.0028
Equation number 5 : -0.0021699
Equation number 6 : -0.00038533
Equation number 7 : -0.011148
Equation number 8 : -6e-05
Equation number 9 : 0

If you are sure your steady state values provided in initval are correct, then the first 8 equations are wrong.

A steady state that is found your equations is

STEADY-STATE RESULTS:

c 802.235
k 2566.73
n_f 738.677
n_i 79.2343
l 182.092
y_f 1156.61
y_i 147.48
i 205.338
z_f 0

Note also that your timing must be wrong. There are no variables dated (+1), indicating your Euler equation is incorrect.