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A new algorithm for the group minimization problem (GP) is proposed. The algorithm can be broadly described as follows …-known algorithm of Glover, and checked for non-negativity. The first non-negative point is an optimal solution of (GP). Advantages and … disadvantages of the algorithm are discussed; in particular, the implementation of the algorithm (which can be easily extended so as …
Persistent link: https://www.econbiz.de/10012478970
objective function for the algorithm designer and a model of their information sets and interaction. We build such a model that … allows the training data to exhibit a wide range of "biases." Prevailing wisdom is that biased data change how the algorithm … is trained and whether an algorithm should be used at all. In contrast, we find two striking irrelevance results. First …
Persistent link: https://www.econbiz.de/10012481694
algorithm in terms of model complexity or the number of predictors to accommodate. Each firm then appoints a data analyst that … uses the chosen algorithm to estimate demand for multiple consumer segments, based on which, it devises a targeting policy …
Persistent link: https://www.econbiz.de/10014247922
We describe and compare several algorithms for approximating the solution to a model in" which inequality constraints occasionally bind. Their performance is evaluated and compared" using various parameterizations of the one sector growth model with irreversible investment. We" develop...
Persistent link: https://www.econbiz.de/10012472605
Rules often are complex in order to distinguish different types of behavior that may have different consequences. Greater complexity thus allows better control of behavior. But individuals may need to incur costs ex ante to determine how more complex rules apply to their contemplated conduct....
Persistent link: https://www.econbiz.de/10012475023
" algorithm that converts the dynamic programming problem into the problem of repeatedly recomputing the fixed point to a … demonstrate that a fairly complex and realistic formulation of the retirement problem can be estimated using this algorithm and a …
Persistent link: https://www.econbiz.de/10012476597
problem we develop a numerical dynamic programming algorithm to solve for optimal policies of each party taking into account …
Persistent link: https://www.econbiz.de/10012476856
We study the optimal pattern of outlays for a single firm pursuing an R&D program over time. In the deterministic case, (a) the amount of progress required to complete the project is known, and (b) the relationship between outlays and progress is known. In this case, it is optimal to increase...
Persistent link: https://www.econbiz.de/10012477422
When all financial assets have risky returns, the mean-variance portfolio model is potentially subject to two types of bliss points. One bliss point arises when a von Neumann-Morgenstern utility function displays negative marginal utility for sufficiently large end-of-period wealth, such as in...
Persistent link: https://www.econbiz.de/10012478302
The problem of simultaneously identifying and controlling a time-varying, perfectly-observed linear system is posed. The parameters are assumed to obey a Markov structure and are estimated with a Kalman filter. The problem can be solved conceptually by dynamic programming, but even with a...
Persistent link: https://www.econbiz.de/10012479101