Dynamic economics methods

Author: Gong Litang
Publisher:
Publish Date: 2004-02-02
Features: This book systematically introduces the methods of dynamic economics. To deepen readers' understanding of dynamic economic methods and familiarize them with their applications, the book provides numerous economic examples, such as the Ramsey model, Sidrauski model, OLG model, investment model, and so on. As a method of dynamic economic analysis, it also briefly reviews the methods for handling static problems, such as the linear programming method and the Lagrange method for nonlinear programming presented in Chapter 4. In economics, intertemporal optimization problems can be divided into continuous-time problems and discrete-time problems. The variational method given in Chapter 5, the optimal control methods given in Chapter 6, and the continuous-time dynamic rule methods given in Chapter 7 are all methods for handling continuous-time optimization problems. Chapters 10 and 11 present dynamic programming methods for handling discrete-time problems. Chapters 12 and 14 respectively provide numerical applications of discrete dynamic programming methods and a class of very important dynamic programming in practice—linear quadratic dynamic programming. Examples of dynamic programming methods are given in Chapters 6 and 13, and these examples are all very important and fundamental models in economics. This book can serve as a textbook for upper-level undergraduate and graduate courses on optimization methods, mathematical economics, and dynamic economic methods, as well as a reference book for researchers studying dynamic economics.