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Many problems in dynamic data driven modeling deals with distributed rather than lumped observations. In this paper, we show that the Monge-Kantorovich optimal transport theory provides a unifying framework to tackle such problems in the…

Systems and Control · Computer Science 2014-02-10 Abhishek Halder , Raktim Bhattacharya

We consider robust pricing and hedging for options written on multiple assets given market option prices for the individual assets. The resulting problem is called the multi-marginal martingale optimal transport problem. We propose two…

Probability · Mathematics 2020-10-08 Stephan Eckstein , Gaoyue Guo , Tongseok Lim , Jan Obloj

In this paper, Monge-Kantorovich problem is considered in the infinite dimension on an abstract Wiener space $(W, H,\mu)$, where $H$ is Cameron-Martin space and $\mu$ is the Gaussian measure. We study the regularity of optimal transport…

Probability · Mathematics 2021-08-30 Mine Caglar , Ihsan Demirel

We revisit the duality theorem for multimarginal optimal transportation problems. In particular, we focus on the Coulomb cost. We use a discrete approximation to prove equality of the extremal values and some careful estimates of the…

Analysis of PDEs · Mathematics 2015-05-08 Luigi De Pascale

This manuscript discusses the approximation of a global maximizer of the Kantorovich mass transfer problem through the approach of $p$-Laplacian equation. Using an approximation mechanism, the primal maximization problem can be transformed…

Optimization and Control · Mathematics 2016-09-12 Yanhua Wu , Xiaojun Lu

The goal of this paper is to settle the study of non-commutative optimal transport problems with convex regularization, in their static and finite-dimensional formulations. We consider both the balanced and unbalanced problem and show in…

Mathematical Physics · Physics 2025-06-27 Emanuele Caputo , Augusto Gerolin , Nataliia Monina , Lorenzo Portinale

We solve a generalized Kyle model type problem using Monge-Kantorovich duality and backward stochastic partial differential equations. First, we show that the the generalized Kyle model with dynamic information can be recast into a terminal…

Probability · Mathematics 2022-11-01 Reda Chhaibi , Ibrahim Ekren , Eunjung Noh , Lu Vy

In this note, we propose polynomial-time algorithms solving the Monge and Kantorovich formulations of the $\infty$-optimal transport problem in the discrete and finite setting. It is the first time, to the best of our knowledge, that…

Optimization and Control · Mathematics 2023-04-27 Meyer Scetbon

In the field of optimal transport, two prominent subfields face each other: (i) unregularized optimal transport, "\`a-la-Kantorovich", which leads to extremely sparse plans but with algorithms that scale poorly, and (ii)…

Machine Learning · Computer Science 2024-02-19 Ehsan Amid , Frank Nielsen , Richard Nock , Manfred K. Warmuth

We formulate an optimal transport problem for matrix-valued density functions. This is pertinent in the spectral analysis of multivariable time-series. The "mass" represents energy at various frequencies whereas, in addition to a usual…

Systems and Control · Computer Science 2013-04-16 Lipeng Ning , Tryphon T. Georgiou , Allen Tannenbaum

In the classical Monge-Kantorovich problem, the transportation cost only depends on the amount of mass sent from sources to destinations and not on the paths followed by this mass. Thus, it does not allow for congestion effects. Using the…

Optimization and Control · Mathematics 2007-05-23 G. Carlier , C. Jimenez , F. Santambrogio

In this article we prove under suitable assumptions that the marginals of any solution to a relaxed controlled martingale problem on a Polish space $E$ can be mimicked by a Markovian solution of a Markov-relaxed controlled martingale…

Probability · Mathematics 2023-09-04 Siva Athreya , Vivek S. Borkar , Nitya Gadhiwala

Solutions to Monge-Kantorovich equations, expressing optimality condition in mass transportation problem with cost equal to distance, are stationary points of a critical-slope model for sand surface evolution. Using a dual variational…

Optimization and Control · Mathematics 2007-05-23 Leonid Prigozhin

We provide a solution to the problem of optimal transport by Brownian martingales in general dimensions whenever the transport cost satisfies certain subharmonic properties in the target variable, as well as a stochastic version of the…

Analysis of PDEs · Mathematics 2020-10-07 Nassif Ghoussoub , Young-Heon Kim , Aaron Zeff Palmer

We consider a singular stochastic control problem, which is called the Monotone Follower Stochastic Control Problem and give sufficient conditions for the existence and uniqueness of a local-time type optimal control. To establish this…

Optimization and Control · Mathematics 2007-05-23 Erhan Bayraktar , Masahiko Egami

This paper introduces a novel approach to contextual stochastic optimization, integrating operations research and machine learning to address decision-making under uncertainty. Traditional methods often fail to leverage contextual…

Machine Learning · Computer Science 2025-05-09 Louis Bouvier , Thibault Prunet , Vincent Leclère , Axel Parmentier

In this paper, we consider a discrete-time stochastic control problem with uncertain initial and target states. We first discuss the connection between optimal transport and stochastic control problems of this form. Next, we formulate a…

We establish dual attainment for the multimarginal, multi-asset martingale optimal transport (MOT) problem, a fundamental question in the mathematical theory of model-independent pricing and hedging in quantitative finance. Our main result…

Mathematical Finance · Quantitative Finance 2026-02-04 Charlie Che , Tongseok Lim , Yue Sun

The use of distances based on optimal transportation has recently shown promise for discrimination of power spectra. In particular, spectral estimation methods based on l1 regularization as well as covariance based methods can be shown to…

Computer Vision and Pattern Recognition · Computer Science 2019-04-09 Ali Sadeghian , Deoksu Lim , Johan Karlsson , Jian Li

The Monge-Kantorovich mass transfer problem is equivalently formulated as a convex optimization problem for a potential function. In the light of this formulation an interative algorithm is developed for determining the solution. It is a…

Analysis of PDEs · Mathematics 2007-05-23 Kazufumi Ito