On the existence of optimal processes in non-stationary environments (Q1176189)
From MaRDI portal
scientific article
Language | Label | Description | Also known as |
---|---|---|---|
English | On the existence of optimal processes in non-stationary environments |
scientific article |
Statements
On the existence of optimal processes in non-stationary environments (English)
0 references
25 June 1992
0 references
An aggregative model of intertemporal allocation under uncertainty is considered in which the utility and production functions are allowed to be time dependent, the random shocks occurring in each period are entirely arbitrary, and the production functions are permitted to be non- concave. In this framework a theorem on the existence of infinite-horizon optimal processes is provided. In the course of establishing this result the existence of optimal policy functions are obtained and it is shown that they are monotone in the stock levels.
0 references
non-stationary environments
0 references
aggregative model
0 references
intertemporal allocation under uncertainty
0 references
existence of infinite-horizon optimal processes
0 references
optimal policy functions
0 references
0 references
0 references