Rank condition is not verified
Posted: Mon Nov 17, 2014 11:48 am
I am running a medium sized model, but I am getting the error message about my model not respecting the rank condition.
I get the answer that I have a colinearity problem, due to the Walras Law, because of an equation when I run "model_diagnostics(M_,options_,oo_)".
I am calibrating four additional parameters so I would like to know if the rank condition error could also be because of a calibration problem.
I get the answer that I have a colinearity problem, due to the Walras Law, because of an equation when I run "model_diagnostics(M_,options_,oo_)".
I am calibrating four additional parameters so I would like to know if the rank condition error could also be because of a calibration problem.