Question: (c) Solve the household's optimization problem using the Lagrangian method. (d) Loglinearize the key household decision rules around a steady-state path fea- turing a

(c) Solve the household's optimization problem using the Lagrangian method. (d) Loglinearize the key household decision rules around a steady-state path fea- turing a constant inflation rate *. Along this path, all real variables are con- stant.

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