Strategies for Discrete-time Decision Models |
Contents
Conditional Strategies | 3 |
Chapter 4 | 22 |
Linear Decision Rules and | 25 |
24 other sections not shown
Common terms and phrases
admissible decision rule agent analysis approximate moments argument assume Banach space based on approximate CEMP certainty equivalence Chapter closed-form closed-form expression complete optimal strategy complete strategy components compute conditional strategy based consider continuous functions costs cubic decision models decision problem denotes derivation determining the complete determining the optimal discrete dynamic programming E₂ Ec(z endogenous variables equations determining example existence exogenous random variables expected value finite first-order certainty equivalence first-order conditions first-period G₂ infinite horizon iteration LDRM LDRM's linear decision rules loss function Malinvaud's matrix maximizing method myopic plan one-shot plan optimal decision rules outcome function payoff function period decision rule polynomial PROOF OF THEOREM quadratic s₁ s₂ satisfied scalar second period decision second-order conditions sequence simple conditional strategy solve stochastic Theil Theorem 2-5 tion vector space x₁ x₂ zero Σ Σ