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Gregory C. Chow

Dynamic Economics: Optimization by the Lagrange Method

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ISBN: 0195101928
Издательство: Oxford University Press
This work provides a unified and simple treatment of dynamic economics using dynamic optimization as the main theme, and the method of Legrange multipliers to solve dynamic economic problems. The author presents the optimization framework for dynamic economics in order that readers can understand the approach and use it as they see fit. Instead of using dynamic programming, the author chooses instead to use the method of Legrange multipliers in the analysis of dynamic optimization because it is easier and more efficient than dynamic programming, and allows readers to understand the substance of dynamic economics better.