questions about OSR
Posted: Mon Jul 02, 2012 7:39 amI know that OSR can compute the coeffections for policy that minimize loss function, but I want to know:
1. whether it can compute the coeffections for policy that will maximize the household life time utility? because i want to compare the results whit Ramsey policy's results.
2.if i write the weights by the minus of household utility second order approximity, can i compare the results of OSR whit Ramsey policy's?
3. if my model is log-linearized, when i write the planer objective(in the Ramsey policy flamwork), whether i have to write objective function by the household utility second order approximity?
Thank you for any reply!
1. whether it can compute the coeffections for policy that will maximize the household life time utility? because i want to compare the results whit Ramsey policy's results.
2.if i write the weights by the minus of household utility second order approximity, can i compare the results of OSR whit Ramsey policy's?
3. if my model is log-linearized, when i write the planer objective(in the Ramsey policy flamwork), whether i have to write objective function by the household utility second order approximity?
Thank you for any reply!