Dynamic Programming is used to derive the optimal feedback solution to the minimization of a quadratic welfare loss-functional subject to a linear econometric model, when the value of some instrument variables can not be optimized in every model period, but only in single ones. In this way, the...

The standard optimal control solutions of the macroeconomic stabilization problem - i.e. essentially: the open- and closed-loop solution - are not necessarily implementable or optimal in real-life situations. This is because they do not take into account the time necessary to measure the...

Based on empirical evidence, a simple model of oil exploration and discovery is deyeloped, which emphasizes the stochastics of the discovery process and its informational aspects. Open-loop-feedback, m-measurement-feedback and closed-loop optimal exploratory strategies are derived. In...