Applications of Optimal Control in Economics
Friday, March 18, 2016 - 9:00am - 9:30am
Ekkehard Sachs (Universität Trier)
In this talk we consider modern developments of the neoclassical growth model developed by Ramsey almost 90 years ago. One example is the extension to peer-to-peer banking, which leads to a vector optimization problem. Another aspect we consider is the extension of the model with a finite number of households which leads to an optimal control problem with partial differential equations including nonlocal effects. We give theoretical results obtained from optimal control and compare it to their economical interpretation supported by numerical results.