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An environmental and natural resource economics blog by Adam Bailey (below). For details and profile see About.
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Category Archives: Mathematical Techniques
The Maximum Duration of Constant Consumption
At what rate should an essential non-renewable resource be depleted to sustain an economy for as long as possible? Suppose the inputs of a closed economy consist of produced capital, a non-renewable resource and labour . Output is of a … Continue reading
Dynamic Optimisation: A Fully Worked Example
In a previous post, I referred to the importance in environmental and natural resource economics of the technique of dynamic optimisation, also known as optimal control. However, the technique is difficult, and worked examples in textbooks or on the web … Continue reading
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A Key Technique of Environmental Economics
Dynamic optimisation, also known as optimal control, is one of the most important techniques of environmental and natural resource economics. Although it’s difficult, the basics should be a compulsory element of graduate-level courses in these fields. I managed to get … Continue reading
Posted in Mathematical Techniques Tagged dynamic optimisation, maximum principle, optimal control Leave a comment