Optimal Control Theory and Static Optimization in Economics

Business & Finance, Economics, Econometrics, Macroeconomics
Cover of the book Optimal Control Theory and Static Optimization in Economics by Daniel Léonard, Ngo van Long, Cambridge University Press
View on Amazon View on AbeBooks View on Kobo View on B.Depository View on eBay View on Walmart
Author: Daniel Léonard, Ngo van Long ISBN: 9781107713048
Publisher: Cambridge University Press Publication: January 31, 1992
Imprint: Cambridge University Press Language: English
Author: Daniel Léonard, Ngo van Long
ISBN: 9781107713048
Publisher: Cambridge University Press
Publication: January 31, 1992
Imprint: Cambridge University Press
Language: English

Optimal control theory is a technique being used increasingly by academic economists to study problems involving optimal decisions in a multi-period framework. This textbook is designed to make the difficult subject of optimal control theory easily accessible to economists while at the same time maintaining rigour. Economic intuitions are emphasized, and examples and problem sets covering a wide range of applications in economics are provided to assist in the learning process. Theorems are clearly stated and their proofs are carefully explained. The development of the text is gradual and fully integrated, beginning with simple formulations and progressing to advanced topics such as control parameters, jumps in state variables, and bounded state space. For greater economy and elegance, optimal control theory is introduced directly, without recourse to the calculus of variations. The connection with the latter and with dynamic programming is explained in a separate chapter. A second purpose of the book is to draw the parallel between optimal control theory and static optimization. Chapter 1 provides an extensive treatment of constrained and unconstrained maximization, with emphasis on economic insight and applications. Starting from basic concepts, it derives and explains important results, including the envelope theorem and the method of comparative statics. This chapter may be used for a course in static optimization. The book is largely self-contained. No previous knowledge of differential equations is required.

View on Amazon View on AbeBooks View on Kobo View on B.Depository View on eBay View on Walmart

Optimal control theory is a technique being used increasingly by academic economists to study problems involving optimal decisions in a multi-period framework. This textbook is designed to make the difficult subject of optimal control theory easily accessible to economists while at the same time maintaining rigour. Economic intuitions are emphasized, and examples and problem sets covering a wide range of applications in economics are provided to assist in the learning process. Theorems are clearly stated and their proofs are carefully explained. The development of the text is gradual and fully integrated, beginning with simple formulations and progressing to advanced topics such as control parameters, jumps in state variables, and bounded state space. For greater economy and elegance, optimal control theory is introduced directly, without recourse to the calculus of variations. The connection with the latter and with dynamic programming is explained in a separate chapter. A second purpose of the book is to draw the parallel between optimal control theory and static optimization. Chapter 1 provides an extensive treatment of constrained and unconstrained maximization, with emphasis on economic insight and applications. Starting from basic concepts, it derives and explains important results, including the envelope theorem and the method of comparative statics. This chapter may be used for a course in static optimization. The book is largely self-contained. No previous knowledge of differential equations is required.

More books from Cambridge University Press

Cover of the book The Evolution of Logic by Daniel Léonard, Ngo van Long
Cover of the book Essentials of Micro- and Nanofluidics by Daniel Léonard, Ngo van Long
Cover of the book To Be Free and French by Daniel Léonard, Ngo van Long
Cover of the book Religion at Work in a Neolithic Society by Daniel Léonard, Ngo van Long
Cover of the book The Cambridge Companion to Twentieth-Century British and Irish Women's Poetry by Daniel Léonard, Ngo van Long
Cover of the book Thinking About Human Memory by Daniel Léonard, Ngo van Long
Cover of the book The Battle for the Catholic Past in Germany, 1945–1980 by Daniel Léonard, Ngo van Long
Cover of the book The Cambridge Companion to Tennessee Williams by Daniel Léonard, Ngo van Long
Cover of the book Church Building and Society in the Later Middle Ages by Daniel Léonard, Ngo van Long
Cover of the book The Ancient Greek Economy by Daniel Léonard, Ngo van Long
Cover of the book Marcel Proust in Context by Daniel Léonard, Ngo van Long
Cover of the book State Control over Private Military and Security Companies in Armed Conflict by Daniel Léonard, Ngo van Long
Cover of the book The Archaeology of South Asia by Daniel Léonard, Ngo van Long
Cover of the book Collecting Early Christian Letters by Daniel Léonard, Ngo van Long
Cover of the book Potamo of Alexandria and the Emergence of Eclecticism in Late Hellenistic Philosophy by Daniel Léonard, Ngo van Long
We use our own "cookies" and third party cookies to improve services and to see statistical information. By using this website, you agree to our Privacy Policy