Can't find the steady state

[Marc]

Hello all,

I am struggling to find the steady state of my model. Anytime I run the model, it shows me the residuals of all the equation which are all zero except two equations but it is unable to return steady state results. Can someone check t up for me. What is it that I am not doing right. Since I am using Stoch_simul, I expect the system to return results even if I did not get all the initial values correctly. Please help out. Attached is my dynare code which I run in matlab. Thank you.

This is what I see after running the model;

SOLVE: maxit has been reached


Residuals of the static equations:

Equation number 1 : 1.02
Equation number 2 : 0
Equation number 3 : 0
Equation number 4 : 0
Equation number 5 : 0
Equation number 6 : 0
Equation number 7 : 0
Equation number 8 : 0
Equation number 9 : 0
Equation number 10 : 0
Equation number 11 : 0
Equation number 12 : 0
Equation number 13 : 0
Equation number 14 : 0
Equation number 15 : 0
Equation number 16 : 0
Equation number 17 : 0
Equation number 18 : 0
Equation number 19 : 0
Equation number 20 : 6.1023e-05
Equation number 21 : 0
Equation number 22 : 0
Equation number 23 : 0


Error using print_info (line 74)
Impossible to find the steady state. Either the model doesn't have a steady state, there are an infinity of
steady states, or the guess values are too far from the solution

Error in steady (line 92)
print_info(info,options_.noprint, options_);

Error in Tariff (line 338)
steady;

Error in dynare (line 180)
evalin('base',fname) ;

[jpfeifer]

Try increasing maxit. But first check whether the two affected equations are really correct. More often than not this type of message indicates that there are still problems with your model that prevent a steady state from being computed.