diff --git a/tests/deterministic_simulations/Irreversible_investment.mod b/tests/deterministic_simulations/Irreversible_investment.mod
index 541179a087a27e7f63cbbd36681a1715dc5ad77d..e25865513efca14bfea4cbef17a4eed46b723419 100644
--- a/tests/deterministic_simulations/Irreversible_investment.mod
+++ b/tests/deterministic_simulations/Irreversible_investment.mod
@@ -109,4 +109,8 @@ perfect_foresight_solver(robust_lin_solve);
 
 if ~oo_.deterministic_simulation.status
     error('Model did not solve')
+else
+% store results
+    endo_simul=oo_.endo_simul;
+    save endo_simul endo_simul
 end
diff --git a/tests/deterministic_simulations/Irreversible_investment_leadlag.mod b/tests/deterministic_simulations/Irreversible_investment_leadlag.mod
new file mode 100644
index 0000000000000000000000000000000000000000..b3dcee55525a3e918bc07d171812edd7ce12b133
--- /dev/null
+++ b/tests/deterministic_simulations/Irreversible_investment_leadlag.mod
@@ -0,0 +1,113 @@
+@#define NumberOfCountries = 2
+
+var log_kappa;
+@#for Country in 1:NumberOfCountries
+    var mu@{Country}, logit_l@{Country}, k@{Country}, a@{Country};
+@#endfor
+
+parameters alpha beta varrho delta theta rhoA sigmaA;
+
+alpha = 0.3;
+beta = 0.99;
+varrho = 1.5;
+delta = 0.025;
+theta = 0.9;
+rhoA = 0.95;
+sigmaA = 0.05;
+
+@#for Country in 1:NumberOfCountries
+    varexo epsilonA@{Country};
+@#endfor
+
+model;
+
+    #kappa = exp( log_kappa );
+
+    #min_A = theta ^ ( 1/alpha );
+    #mean_a = log( 1 - min_A );
+
+    @#for Country in 1:NumberOfCountries
+
+        #K@{Country}        = exp( k@{Country} );
+        #A@{Country}        = min_A + exp( a@{Country} );
+        #L@{Country}        = 1 / ( 1 + exp( -logit_l@{Country} ) );
+
+        #C@{Country} = kappa ^ ( -1/varrho ) - theta / ( 1-alpha ) * ( A@{Country}*(1-L@{Country}) ) ^ ( 1-alpha );
+        #phi@{Country} = ( 1 - theta * ( A@{Country}*(1-L@{Country}) ) ^ ( -alpha ) ) * kappa;
+        #I@{Country} = K@{Country} - ( 1-delta ) * K@{Country}(-1);
+
+    @#endfor
+
+    @#for Country in 1:NumberOfCountries
+
+        ( a@{Country} - mean_a ) = rhoA * ( a@{Country}(-1) - mean_a ) - sigmaA * epsilonA@{Country};
+        L@{Country} = min( K@{Country}(-1) / A@{Country}, 1 - theta ^ ( 1/alpha ) / A@{Country} );
+        kappa - mu@{Country} = beta * ( ( 1-delta ) * ( kappa(+1) - mu@{Country}(+1) ) + phi@{Country}(+1) );
+        kappa = max( beta * ( ( 1-delta ) * ( kappa(+1) - mu@{Country}(+1) ) + phi@{Country}(+1) ), ( theta / ( 1-alpha ) * ( A@{Country}*(1-L@{Country}) ) ^ ( 1-alpha )
+        @#for OtherCountry in 1:NumberOfCountries
+            + A@{OtherCountry} * L@{OtherCountry}
+            @#if OtherCountry != Country
+                - C@{OtherCountry} - I@{OtherCountry}
+            @#endif
+        @#endfor
+        ) ^ ( -varrho ) );
+
+    @#endfor
+
+    0 = 0
+    @#for OtherCountry in 1:NumberOfCountries
+        + A@{OtherCountry} * L@{OtherCountry}
+        - C@{OtherCountry} - I@{OtherCountry}
+    @#endfor
+    ;
+
+end;
+
+steady_state_model;
+
+    a = log( 1 - theta ^ ( 1/alpha ) );
+    mu = 0;
+    L = 1 - ( 1/theta * ( 2 - 1/beta - delta ) ) ^ ( -1/alpha );
+    K = L;
+    I = delta * K;
+    C = ( 1 - delta ) * L;
+
+    kappa_ = ( C + theta / ( 1-alpha ) * ( 1-L ) ^ ( 1-alpha ) ) ^ ( -varrho );
+
+    log_kappa = log( kappa_ );
+
+    @#for Country in 1:NumberOfCountries
+
+        mu@{Country} = mu;
+        logit_l@{Country} = log( L / ( 1 - L ) );
+        k@{Country} = log( K );
+        a@{Country} = a;
+
+    @#endfor
+
+end;
+
+steady;
+check;
+
+shocks;
+
+var epsilonA1; periods 1; values 2;
+@#for Country in 2:NumberOfCountries
+    var epsilonA@{Country}; periods 1; values 0;    
+@#endfor
+
+end;
+
+perfect_foresight_setup(periods=400);
+perfect_foresight_solver(robust_lin_solve);
+
+if ~oo_.deterministic_simulation.status
+    error('Model did not solve')
+else
+% check consistency
+    load endo_simul endo_simul
+    if max(max(abs(endo_simul-oo_.endo_simul))) > 1.e-12
+        error('Using leads/lags in #declarations does not deliver the same results as in baseline model')
+    end
+end