Limit of the solutions for the finite horizon problems as the optimal solution to the infinite horizon optimization problems
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Publication:2997147
Abstract: We aim to generalize the results of Cai and Nitta (2007) by allowing both the utility and production function to depend on time. We also consider an additional intertemporal optimality criterion. We clarify the conditions under which the limit of the solutions for the finite horizon problems is optimal among all attainable paths for the infinite horizon problems under the overtaking criterion, as well as the conditions under which such a limit is the unique optimum under the sum-of-utilities criterion. The results are applied to a parametric example of the one-sector growth model to examine the impacts of discounting on optimal paths.
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(15)- On the convergence of optimal solutions in infinite horizon discrete time models
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- Infinite Horizon Optimization
- Global optimization for the sum of certain nonlinear functions
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- Optimality criteria for deterministic discrete-time infinite horizon optimization
- scientific article; zbMATH DE number 4126154 (Why is no real title available?)
- Solvability in infinite horizon optimization
- A linearized relaxing algorithm for the specific nonlinear optimization problem
- Optimal choice for finite and infinite horizons
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- Transversality conditions for infinite horizon optimality: higher order differential problems
- Nonturnpike optimal solutions and their approximations in infinite horizon
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