diff --git a/doc/dynare.texi b/doc/dynare.texi
index c0f5e2531..aca2b0865 100644
--- a/doc/dynare.texi
+++ b/doc/dynare.texi
@@ -2747,7 +2747,7 @@ option, @pxref{Model declaration})
 @end table
 
 @noindent
-Default value is @code{2}.
+Default value is @code{4}.
 
 @item homotopy_mode = @var{INTEGER}
 Use a homotopy (or divide-and-conquer) technique to solve for the
diff --git a/matlab/global_initialization.m b/matlab/global_initialization.m
index 73d28ae45..850af1228 100644
--- a/matlab/global_initialization.m
+++ b/matlab/global_initialization.m
@@ -276,7 +276,7 @@ options_.endogenous_terminal_period = 0;
 % Solution
 options_.order = 2;
 options_.pruning = 0;
-options_.solve_algo = 2;
+options_.solve_algo = 4;
 options_.linear = 0;
 options_.replic = 50;
 options_.simul_replic = 1;