I know that OSR can compute the coeffections for policy that minimize loss function, but I want to know:
- 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? - 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!