Result: On the terminal condition for the Bellman equation for dynamic optimization with an infinite horizon

Title:
On the terminal condition for the Bellman equation for dynamic optimization with an infinite horizon
Source:
Applied mathematics letters. 24(6):943-949
Publisher Information:
Kidlington: Elsevier, 2011.
Publication Year:
2011
Physical Description:
print, 12 ref
Original Material:
INIST-CNRS
Document Type:
Academic journal Article
File Description:
text
Language:
English
Author Affiliations:
Institute of Applied Mathematics and Mechanics, Warsaw University, ul. Banacha 2, 02-097, Poland
ISSN:
0893-9659
Rights:
Copyright 2015 INIST-CNRS
CC BY 4.0
Sauf mention contraire ci-dessus, le contenu de cette notice bibliographique peut être utilisé dans le cadre d’une licence CC BY 4.0 Inist-CNRS / Unless otherwise stated above, the content of this bibliographic record may be used under a CC BY 4.0 licence by Inist-CNRS / A menos que se haya señalado antes, el contenido de este registro bibliográfico puede ser utilizado al amparo de una licencia CC BY 4.0 Inist-CNRS
Notes:
Mathematics
Accession Number:
edscal.23928797
Database:
PASCAL Archive

Further Information

In this work a sufficient condition for deterministic dynamic optimization with discrete time and infinite horizon is formulated. It encompasses also situations where the instantaneous payoff/utility function can attain infinite values. The usual terminal condition for sufficiency of the Bellman equation requiring that the limit superior of the value function along each admissible trajectory is equal to 0 is replaced by a weaker one in which the limit superior of the value function can attain nonpositive values. This kind of terminal condition is applicable also to deterministic dynamic optimization problems with real-valued instantaneous payoff function in which the usual terminal condition does not hold.