Dear Prof Pfeifer
I would like to seek your help on the osr command.

I would like to find the value of a parameter (phiP) which maximizes welfare (following a technology shock). I understand there is no boxed solution for this, but I would really appreciate if you can direct me on how I can implement this. I would like to incorporate this in the cycle_irf.mod file in the attached folder, which contains the code for the technology shock and also has the welfare function (Welf).

Also, is there a way to use the osr command with the nonlinear newton rhapson solver algorithm? I tried to do this in the transition.mod file, but it does not seem to work. As in the above file, I also want to find the welfare maximizing value of phiP.
To run either of these files, it needs to be done in the run.m file. Please set deterministic=1 to run transition.mod and =0 to run cycle_irf.mod.
Many thanks.
osr forum.zip (2.4 MB)