Unable to find the steady state, Help!

[zhaoningru]

I built a simple family labor supply model to investigate the aggregate fluctuations and used DYNARE to simulate it. I calculated the state steady by hand. Unfortunately, it did not work for dynare. I have checked for several times and failed to find any problems. Thus, I attached my model and dynare codes here. I hope somebody give me some suggestion to modify the model or the codes.
Really appreciated for your kind help!

[jpfeifer]

Put initval before steady and use

Code: Select all

steady(solve_algo=4,maxit=1000)

with the new snapshot. It will find:

STEADY-STATE RESULTS:

c_f 0.5244
c_h 0.5807
c_w 0.5807
i 0.3448
y_f 0.5244
y_m 1.5062
n_hm 0.32
n_wm 0.15
n_hf 0.17
n_wf 0.3
w_hm 2.0512
w_wm 2.0512
w_hf 1.0265
w_wf 1.0265
miu 0.90465
eta 0.4526
l_h 0.51
l_w 0.55
r_kf 0.0227
r_km 0.0454
a_f 1
a_m 1
k 13.7908
k_m 11.9446
k_f 1.8462

But model_diagnostics says:

MODEL_DIAGNOSTICS: The Jacobian of the static model is singular
MODEL_DIAGNOSTICS: there is 1 colinear relationships between the variables and the equations
Colinear variables:
n_hm
n_wm
n_hf
n_wf
Colinear equations
4 5 6 7 12 13 14 15

MODEL_DIAGNOSTICS: The presence of a singularity problem typically indicates that there is one
MODEL_DIAGNOSTICS: redundant equation entered in the model block, while another non-redundant equation
MODEL_DIAGNOSTICS: is missing. The problem often derives from Walras Law.

[zhaoningru]

Put initval before steady and use

Code: Select all

steady(solve_algo=4,maxit=1000)

with the new snapshot. It will find:

STEADY-STATE RESULTS:

c_f 0.5244
c_h 0.5807
c_w 0.5807
i 0.3448
y_f 0.5244
y_m 1.5062
n_hm 0.32
n_wm 0.15
n_hf 0.17
n_wf 0.3
w_hm 2.0512
w_wm 2.0512
w_hf 1.0265
w_wf 1.0265
miu 0.90465
eta 0.4526
l_h 0.51
l_w 0.55
r_kf 0.0227
r_km 0.0454
a_f 1
a_m 1
k 13.7908
k_m 11.9446
k_f 1.8462

But model_diagnostics says:

MODEL_DIAGNOSTICS: The Jacobian of the static model is singular
MODEL_DIAGNOSTICS: there is 1 colinear relationships between the variables and the equations
Colinear variables:
n_hm
n_wm
n_hf
n_wf
Colinear equations
4 5 6 7 12 13 14 15

MODEL_DIAGNOSTICS: The presence of a singularity problem typically indicates that there is one
MODEL_DIAGNOSTICS: redundant equation entered in the model block, while another non-redundant equation
MODEL_DIAGNOSTICS: is missing. The problem often derives from Walras Law.

I have checked the mod.file. I made mistake in the "initval" block. Now, I got the same steady state values as you posted. However, the model still fails to work in dynare. The problem as stated by the diagnostics is "there is one redundant equation entered in the model block, while another non-redundant equation is missing." I have checked all the equations in the mod file. I put all the 25 equations in my model into the mod file and get values for 25 endogenous variables. Thus, I am not able to understand this diagnostics. Please check my model ( there is some typos) and give me some suggestion. Thanks for your help! Really appreciated!

[jpfeifer]

As it says: there is one equation in your model that is redundant. Instead you forgot another equation that is needed to solve the model. What that is, I don't know.