Hi,

I have a question regarding log linearisation.

To show my problem I introduce first a easy function.

For Example: Y_t/A_t —> log lin form will be y_head - a_head.

Now I imagine following function, which has no connection to the fct above, I will just try to understand the mathematics in this problem. I do not know how to log linearize the fraction with a sum which is mulitplicative. It will help me a lot if some can solve this equation.

The letters also have no economic meaning.