function initial_estimation_checks(xparam1,gend,data)
global dr1_test bayestopt_ estim_params_ options_ oo_ M_

nv = size(data,1);
if nv-size(options_.varobs,1)
	disp(' ')
	disp(['Declared number of observed variables = ' int2str(size(options_.varobs,1))])
	disp(['Number of variables in the database   = ' int2str(nv)])
    disp(' ')
	error(['Estimation can''t take place because the declared number of observed' ...
	  'variables doesn''t match the number of variables in the database.'])
end
if nv > M_.exo_nbr+estim_params_.nvn
    error(['Estimation can''t take place because there are less shocks than' ...
	  'observed variables'])
end
r = rank(data);
if r < nv
    error(['Estimation can''t take place because the data are perfectly' ...
 	   ' correlated']);
end

if ~isempty(strmatch('dsge_prior_weight',M_.param_names))
  [fval,cost_flag,ys,trend_coeff,info] = DsgeVarLikelihood(xparam1,gend);
else
  [fval,cost_flag,ys,trend_coeff,info] = DsgeLikelihood(xparam1,gend,data);
end

if info(1) > 0
  disp('Error in computing likelihood for initial parameter values')
  print_info(info)
end

disp(['Initial value of the log posterior (or likelihood): ' num2str(-fval)]);