Impossible to find the steady state

[minkyulee]

Hello,

I'm trying to run a my model.
Every time I run the model I get the following error message:

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 taxmodel_2 (line 187)
steady;

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

I cannot find where my error is.

I am certain that there is a mistake in my model, is there a way of identifying where it is?

attatched .mod file.

Any additional help would be much appreciated.

Thanks

[jpfeifer]

First, the usual advice. Try computing the steady state analytically and get rid of the exp()-substitution until the model solves
Second, I think your Euler equation looks weird. You have both the interest (1+r) in there as well as the return to capital ((ALFA)*exp(k)^(ALFA-1)*exp(n)^(1-ALFA)), thus having the return twice. Correcting this and increasing maxit in the steady command results in a steady state.

[minkyulee]

I really appreciate to you.

Thank you very much.