redundant equation and non-redundant equation is missing

[yanking]

Hi all,
I have some troubles in dynare.I am having a hard time to work with modle file in matlab. Can someone tell me what I am doing wrong here.
Thank you for any help or suggestion!



The presence of a singularity problem typically indicates that there is one
redundant equation entered in the model block, while another non-redundant equation
is missing. The problem often derives from Walras Law.
??? Error using ==> print_info at 37
The generalized Schur (QZ) decomposition failed. For more information, see the
documentation for Lapack function dgges: info=38, n=36. You can also run
model_diagnostics to get more information on what may cause this problem.

Error in ==> stoch_simul at 98
print_info(info, options_.noprint, options_);

Error in ==> papercode at 560
info = stoch_simul(var_list_);

Error in ==> dynare at 180
evalin('base',fname) ;

[jpfeifer]

You need to narrow down your model to find out where the problem comes from. The are too many collinear equations. It seems you are trying to determine variables that cannot be determined endogenously due to unit root (e.g. the price level and nominal money stocks.) Usually prices in NK-models are non-stationary and everything has to be expressed in real terms using the inflation rate instead of the price level.
You should try to simplify your model to find out what is going on.

[yanking]

thanks!