diff --git a/matlab/homotopy1.m b/matlab/homotopy1.m
index 1d76eda5d3f16676000a3f02466fa83f9d3d7a34..db11e1de418dc1022c93a1f742adba45d283cd52 100644
--- a/matlab/homotopy1.m
+++ b/matlab/homotopy1.m
@@ -23,7 +23,7 @@ function homotopy1(values, step_nbr)
% SPECIAL REQUIREMENTS
% none
-% Copyright (C) 2008 Dynare Team
+% Copyright (C) 2008-2009 Dynare Team
%
% This file is part of Dynare.
%
@@ -48,7 +48,7 @@ function homotopy1(values, step_nbr)
ix = find(values(:,1) == 1); % Exogenous
ixd = find(values(:,1) == 2); % Exogenous deterministic
- if length([ip, ix, ixd]) ~= nv
+ if length([ip; ix; ixd]) ~= nv
error('HOMOTOPY mode 1: incorrect variable types specified')
end
diff --git a/matlab/homotopy2.m b/matlab/homotopy2.m
index 2425e12c5a04071265cef431c578ad9ca6203ee7..eb53778d2a428d2322374a214d9be802744c72a3 100644
--- a/matlab/homotopy2.m
+++ b/matlab/homotopy2.m
@@ -25,7 +25,7 @@ function homotopy2(values, step_nbr)
% SPECIAL REQUIREMENTS
% none
-% Copyright (C) 2008 Dynare Team
+% Copyright (C) 2008-2009 Dynare Team
%
% This file is part of Dynare.
%
diff --git a/matlab/homotopy3.m b/matlab/homotopy3.m
index c3fc9ddbe8513d823d537f31a770886e25e597c8..15148fd227d2ad9871660a45335d7eac9d177361 100644
--- a/matlab/homotopy3.m
+++ b/matlab/homotopy3.m
@@ -25,7 +25,7 @@ function homotopy3(values, step_nbr)
% SPECIAL REQUIREMENTS
% none
-% Copyright (C) 2008 Dynare Team
+% Copyright (C) 2008-2009 Dynare Team
%
% This file is part of Dynare.
%
@@ -52,7 +52,7 @@ function homotopy3(values, step_nbr)
ix = find(values(:,1) == 1); % Exogenous
ixd = find(values(:,1) == 2); % Exogenous deterministic
- if length([ip, ix, ixd]) ~= nv
+ if length([ip; ix; ixd]) ~= nv
error('HOMOTOPY mode 3: incorrect variable types specified')
end
diff --git a/tests/Makefile.in b/tests/Makefile.in
index 1e18007528f570b98e25cc0d5a74bc235ed220fb..ac940d3813c0019fad53d31bfa89a1c29ef26784 100644
--- a/tests/Makefile.in
+++ b/tests/Makefile.in
@@ -16,7 +16,9 @@ OCTAVE_MODS = \
arima/mod2.mod \
arima/mod2c.mod \
fs2000/fs2000.mod \
- homotopy/ramst_homotopy.mod \
+ homotopy/homotopy1_test.mod \
+ homotopy/homotopy2_test.mod \
+ homotopy/homotopy3_test.mod \
bvar_a_la_sims/bvar_standalone.mod \
bvar_a_la_sims/bvar_and_dsge.mod
diff --git a/tests/homotopy/common.mod b/tests/homotopy/common.mod
index c643542c57be63b108eaab8ab48e8c1caf9d74d6..347dd464ab64b3cbb022ccfb07ef9682fa98bc57 100644
--- a/tests/homotopy/common.mod
+++ b/tests/homotopy/common.mod
@@ -6,8 +6,30 @@ alph=0.5;
gam=0.5;
delt=0.02;
aa=0.5;
+bet=0.05;
model;
c + k - aa*x*k(-1)^alph - (1-delt)*k(-1);
c^(-gam) - (1+bet)^(-1)*(aa*alph*x(+1)*k^(alph-1) + 1 - delt)*c(+1)^(-gam);
end;
+
+initval;
+x = 1;
+k = ((delt+bet)/(aa*x*alph))^(1/(alph-1));
+c = aa*x*k^alph-delt*k;
+end;
+
+homotopy_setup;
+bet, 0.05, 0.1;
+x, 2;
+end;
+
+steady(homotopy_mode = @{homotopy_mode}, homotopy_steps = 50);
+
+if abs(oo_.steady_state(1)/(aa*oo_.exo_steady_state(1)*oo_.steady_state(2)^alph-delt*oo_.steady_state(2)) - 1) > 1e-4
+ error('Error in homotopy for c')
+end
+
+if abs(oo_.steady_state(2)/((delt+get_param_by_name('bet'))/(aa*oo_.exo_steady_state(1)*alph))^(1/(alph-1)) - 1) > 1e-4
+ error('Error in homotopy for k')
+end
diff --git a/tests/homotopy/homotopy1_test.mod b/tests/homotopy/homotopy1_test.mod
new file mode 100644
index 0000000000000000000000000000000000000000..fe24c5194df0b0ac485db806d9644ddf68430144
--- /dev/null
+++ b/tests/homotopy/homotopy1_test.mod
@@ -0,0 +1,2 @@
+@#define homotopy_mode = 1
+@#include "common.mod"
diff --git a/tests/homotopy/homotopy2_test.mod b/tests/homotopy/homotopy2_test.mod
new file mode 100644
index 0000000000000000000000000000000000000000..cf0b8a80d8f805995e7ab7c3e812884abd0e33c4
--- /dev/null
+++ b/tests/homotopy/homotopy2_test.mod
@@ -0,0 +1,2 @@
+@#define homotopy_mode = 2
+@#include "common.mod"
diff --git a/tests/homotopy/homotopy3_test.mod b/tests/homotopy/homotopy3_test.mod
new file mode 100644
index 0000000000000000000000000000000000000000..74b5fc6115b447556b5ce2bd070a95110c859027
--- /dev/null
+++ b/tests/homotopy/homotopy3_test.mod
@@ -0,0 +1,4 @@
+// This test is not very thorough since homotopy will succeed at first step...
+
+@#define homotopy_mode = 3
+@#include "common.mod"
diff --git a/tests/homotopy/ramst_final.mod b/tests/homotopy/ramst_final.mod
deleted file mode 100644
index 6e49900aafaf6099d44b1dd1b4abdb36f8b34677..0000000000000000000000000000000000000000
--- a/tests/homotopy/ramst_final.mod
+++ /dev/null
@@ -1,13 +0,0 @@
-// Computes the steady state which should be arrived at in ramst_homotopy.mod
-
-@#include "common.mod"
-
-bet = 0.1;
-
-initval;
-x = 2;
-k = ((delt+bet)/(1.0*aa*alph))^(1/(alph-1));
-c = aa*k^alph-delt*k;
-end;
-
-steady;
diff --git a/tests/homotopy/ramst_homotopy.mod b/tests/homotopy/ramst_homotopy.mod
deleted file mode 100644
index 368311d3ed79ee8a9df74ef97811ff5a2e26f3d3..0000000000000000000000000000000000000000
--- a/tests/homotopy/ramst_homotopy.mod
+++ /dev/null
@@ -1,20 +0,0 @@
-// Contains the test for homotopy.
-// The values in initval block are obtained from ramst_initial.mod
-// Result of the computation should be the same than in ramst_final.mod
-
-@#include "common.mod"
-
-initval;
-k = 12.75;
-c = 1.5;
-x = 1;
-end;
-
-homotopy_setup;
-bet, 0.05, 0.1;
-x, 2;
-end;
-
-steady(homotopy_mode = 2, homotopy_steps = 50);
-//steady(homotopy_mode = 2, homotopy_steps = 50);
-//steady(homotopy_mode = 3, homotopy_steps = 50);
diff --git a/tests/homotopy/ramst_initial.mod b/tests/homotopy/ramst_initial.mod
deleted file mode 100644
index 0d74511ddc0e97a8a7304688938613d0f25593b6..0000000000000000000000000000000000000000
--- a/tests/homotopy/ramst_initial.mod
+++ /dev/null
@@ -1,13 +0,0 @@
-// Computes the steady state used in initval block of ramst_homotopy.mod
-
-@#include "common.mod"
-
-bet=0.05;
-
-initval;
-x = 1;
-k = ((delt+bet)/(1.0*aa*alph))^(1/(alph-1));
-c = aa*k^alph-delt*k;
-end;
-
-steady;