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We obtain a verification theorem for solving a Dynkin game driven by a L\'evy process. The result requires finding two averaging functions that, composed respectively with the supremum and the infimum of the process, summed, and taked the…

Probability · Mathematics 2026-01-22 Laura Aspirot , Ernesto Mordecki , Andres Sosa

Diffusion models typically operate in the standard framework of generative modelling by producing continuously-valued datapoints. To this end, they rely on a progressive Gaussian smoothing of the original data distribution, which admits an…

Machine Learning · Computer Science 2022-10-27 Pierre H. Richemond , Sander Dieleman , Arnaud Doucet

The smoothing distribution is the conditional distribution of the diffusion process in the space of trajectories given noisy observations made continuously in time. It is generally difficult to sample from this distribution. We use the…

Probability · Mathematics 2025-03-07 Oskar Eklund , Annika Lang , Moritz Schauer

This paper studies the problem of optimal switching for one-dimensional diffusion, which may be regarded as sequential optimal stopping problem with changes of regimes. The resulting dynamic programming principle leads to a system of…

Probability · Mathematics 2007-05-23 Huyen Pham

We characterize the optimal control for a class of singular stochastic control problems as the unique solution to a related Skorokhod reflection problem. The considered optimization problems concern the minimization of a discounted cost…

Optimization and Control · Mathematics 2023-05-22 Jodi Dianetti , Giorgio Ferrari

The focus of this article is studying an optimal control problem for branching diffusion processes. Initially, we introduce the problem in its strong formulation and expand it to include linearly growing drifts. Then, we present a relaxed…

Probability · Mathematics 2026-01-21 Antonio Ocello

For a stopped diffusion process in a multidimensional time-dependent domain $\D$, we propose and analyse a new procedure consisting in simulating the process with an Euler scheme with step size $\Delta$ and stopping it at discrete times…

Probability · Mathematics 2010-04-22 Emmanuel Gobet , Stéphane Menozzi

This paper explores the convergence behavior of two waveform relaxation algorithms, namely the Dirichlet-Neumann and Neumann-Neumann Waveform Relaxation algorithms, for an optimal control problem with a sub-diffusion partial differential…

Optimization and Control · Mathematics 2025-12-17 Soura Sana , Bankim C. Mandal

Reflected diffusions naturally arise in many problems from applications ranging from economics and mathematical biology to queueing theory. In this paper we consider a class of infinite time-horizon singular stochastic control problems for…

Optimization and Control · Mathematics 2017-11-13 Giorgio Ferrari

The principle of smooth fit is probably the most used tool to find solutions to optimal stopping problems of one-dimensional diffusions. It is important, e.g., in financial mathematical applications to understand in which kind of models and…

Probability · Mathematics 2014-06-24 Paavo Salminen , Bao Quoc Ta

We study the empirical process arising from a multi-dimensional diffusion process with periodic drift and diffusivity. The smoothing properties of the generator of the diffusion are exploited to prove the Donsker property for certain…

Probability · Mathematics 2023-07-06 Neil Deo

Motivated by applications in natural resource management, risk management, and finance, this paper is focused on an ergodic two-sided singular control problem for a general one-dimensional diffusion process. The control is given by a…

Optimization and Control · Mathematics 2022-03-01 Khwanchai Kunwai , Fubao Xi , George Yin , Chao Zhu

The method of potential solutions of Fokker-Planck equations is used to develop a transport equation for the joint probability of N coupled stochastic variables with the Dirichlet distribution as its asymptotic solution. To ensure a bounded…

Mathematical Physics · Physics 2013-03-05 J. Bakosi , J. R. Ristorcelli

This paper provides a full characterization of the value function and solution(s) of an optimal stopping problem for a one-dimensional diffusion with an integral criterion. The results hold under very weak assumptions, namely, the diffusion…

Probability · Mathematics 2017-03-21 Manuel Guerra , Cláudia Nunes , Carlos Oliveira

This work investigates the optimal control of the variable-exponent subdiffusion, which extends the work [Gunzburger and Wang, {\it SIAM J. Control Optim.} 2019] to the variable-exponent case to account for the multiscale and crossover…

Optimization and Control · Mathematics 2025-06-03 Yiqun Li , Mengmeng Liu , Wenlin Qiu , Xiangcheng Zheng

In ergodic singular stochastic control problems, a decision-maker can instantaneously adjust the evolution of a state variable using a control of bounded variation, with the goal of minimizing a long-term average cost functional. The cost…

Optimization and Control · Mathematics 2025-10-14 Alessandro Calvia , Federico Cannerozzi , Giorgio Ferrari

We construct a saddle point in a class of zero-sum games between a stopper and a singular-controller. The underlying dynamics is a one-dimensional, time-homogeneous, singularly controlled diffusion taking values either on $\mathbb{R}$ or on…

Optimization and Control · Mathematics 2024-10-28 Andrea Bovo , Tiziano De Angelis

Diffusion models learn to reverse the progressive noising of a data distribution to create a generative model. However, the desired continuous nature of the noising process can be at odds with discrete data. To deal with this tension…

Machine Learning · Computer Science 2023-09-13 Griffin Floto , Thorsteinn Jonsson , Mihai Nica , Scott Sanner , Eric Zhengyu Zhu

We study an ergodic singular control problem with constraint of a regular one-dimensional linear diffusion. The constraint allows the agent to control the diffusion only at jump times of independent Poisson process. Under relatively weak…

Probability · Mathematics 2021-07-01 Jukka Lempa , Harto Saarinen

We show that the value function of an optimal stopping game driven by a one-dimensional diffusion can be characterised using a modification of the Legendre transformation if and only if the optimal stopping game exhibits a Nash equilibrium…

Optimization and Control · Mathematics 2014-01-10 Jenny Sexton