Value of planner objective function
Posted: Fri Feb 24, 2017 4:43 am
The Rasemy routine of Dynare reports two values of planner objective function.
How does Dynare calculate these values? I am wondering if we can use
these values to rank alternative policy mix.
For example, compare welfare under different policy instruments: labor income tax or capital tax.
Thanks.
How does Dynare calculate these values? I am wondering if we can use
these values to rank alternative policy mix.
For example, compare welfare under different policy instruments: labor income tax or capital tax.
Thanks.