Optimal and near-optimal incentive strategies in the hierarchical control of Markov chains (Q1058473)
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| Language | Label | Description | Also known as |
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| English | Optimal and near-optimal incentive strategies in the hierarchical control of Markov chains |
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Optimal and near-optimal incentive strategies in the hierarchical control of Markov chains (English)
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1985
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This paper considers Markovian Stackelberg problems with one leader and N followers. Firstly, an algorithm is proposed to compute an optimal affine incentive strategy for the leader and Nash reactions of the followers, for general finite state Markov chains, under the average-cost-per-stage criteria. Next, this algorithm is analyzed in the context of weakly- coupled Markov chains to compute near-optimal strategies from a reduced- order aggregate model. The robustness of the near-optimal solution is established, and the multimodel feature of the computational algorithm is highlighted.
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decentralized control
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hierarchical decision making
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large scale systems
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perturbation techniques
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stochastic systems
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Markovian Stackelberg problems
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one leader
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N followers
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optimal affine incentive strategy
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Nash reactions
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finite state Markov chains
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average-cost-per-stage criteria
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near-optimal strategies
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reduced-order aggregate model
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robustness
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