Ramsey: The maximum number of iterations has been reached

Optimal Policy
1

Dear everyone,

I have one DSGE model , in which I want to do a ramsey policy, but it shows some errors, particularly when I run it, it says:

Error using print_info (line 156)
Ramsey: The maximum number of iterations has been reached. Try increasing maxit.

Error in stoch_simul (line 100)
    print_info(info, options_.noprint, options_);

Error in ramsey_policy (line 42)
info = stoch_simul(var_list);

Error in aa (line 746)
ramsey_policy(var_list_);

Error in dynare (line 235)
evalin('base',fname) ;

The mod aacop.mod (6.5 KB)
file is attached .
Can anyone help me with this ? Thanks

2

You did not provide n_h_fun.m

3

oh I’m sorry, here it isn_h_fun.m (179 Bytes)

4

Are you sure a steady state exists for this Ramsey problem?

5

Don’t know. I wanted to choose x variable, which can maximize utility or minimize consumption volativity with ramsey policy

6

Then you should think more about the economics of the problem.