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We introduce a Benamou-Brenier formulation for the continuous-time martingale optimal transport problem as a weak length relaxation of its discrete-time counterpart. By the correspondence between classical martingale problems and…

Probability · Mathematics 2018-08-29 Martin Huesmann , Dario Trevisan

We develop and study a theory of optimal transport for vector measures. We resolve in the negative a conjecture of Klartag, that given a vector measure on Euclidean space with total mass zero, the mass of any transport set is again zero. We…

Functional Analysis · Mathematics 2021-08-17 Krzysztof J. Ciosmak

In the context of Risk Neutral Pricing theory, we consider the classic problem of calibrating a martingale over $\mathbb{R}^n$ to a finite number of marginals thereof, or more practically, to prices of an arbitrary finite set of (joint)…

Probability · Mathematics 2025-12-19 Michael M. Kay

In this note, we extend the regularity theory for monotone measure-preserving maps, also known as optimal transports for the quadratic cost optimal transport problem, to the case when the support of the target measure is an arbitrary convex…

Analysis of PDEs · Mathematics 2023-05-17 Alessio Figalli , Yash Jhaveri

Optimal transport has become part of the standard quantitative economics toolbox. It is the framework of choice to describe models of matching with transfers, but beyond that, it allows to: extend quantile regression; identify discrete…

General Economics · Economics 2021-07-13 Alfred Galichon

We study the convergence of entropically regularized optimal transport to optimal transport. The main result is concerned with the convergence of the associated optimizers and takes the form of a large deviations principle quantifying the…

Optimization and Control · Mathematics 2022-01-25 Espen Bernton , Promit Ghosal , Marcel Nutz

In this article we study and classify optimal martingales in the dual formulation of optimal stopping problems. In this respect we distinguish between weakly optimal and surely optimal martingales. It is shown that the family of weakly…

Probability · Mathematics 2021-02-03 Denis Belomestny , John Schoenmakers

In this work we study a special minimax problem where there are linear constraints that couple both the minimization and maximization decision variables. The problem is a generalization of the traditional saddle point problem (which does…

Optimization and Control · Mathematics 2022-11-29 Ioannis Tsaknakis , Mingyi Hong , Shuzhong Zhang

We provide a compactness criterion for the set of laws $\mathfrak{P}^{ac}_{sem}(\Theta)$ on the Skorokhod space for which the canonical process $X$ is a semimartingale having absolutely continuous characteristics with differential…

Probability · Mathematics 2018-05-11 Chong Liu , Ariel Neufeld

While many questions in robust finance can be posed in the martingale optimal transport framework or its weak extension, others like the subreplication price of VIX futures, the robust pricing of American options or the construction of…

Probability · Mathematics 2023-04-20 Benjamin Jourdain , Gudmund Pammer

We analyze continuous optimal transport problems in the so-called Kantorovich form, where we seek a transport plan between two marginals that are probability measures on compact subsets of Euclidean space. We consider the case of…

Optimization and Control · Mathematics 2020-10-28 Christian Clason , Dirk A. Lorenz , Hinrich Mahler , Benedikt Wirth

This paper studies distributional model risk in marginal problems, where each marginal measure is assumed to lie in a Wasserstein ball centered at a fixed reference measure with a given radius. Theoretically, we establish several…

Optimization and Control · Mathematics 2023-07-04 Yanqin Fan , Hyeonseok Park , Gaoqian Xu

The optimal (Monge-Kantorovich) transportation problem is discussed from several points of view. The Lagrangian formulation extends the action of the {\em Lagrangian} $L(v,x,t)$ from the set of orbits in $\R^n$ to a set of measure-valued…

Mathematical Physics · Physics 2007-05-23 Gershon Wolansky

This paper mainly addresses the Monge mass transfer problem in the 1-D case. Through an ingenious approximation mechanism, one transforms the Monge problem into a sequence of minimization problems, which can be converted into a sequence of…

Optimization and Control · Mathematics 2016-07-26 Yanhua Wu , Xiaojun Lu

We consider the modified Monge-Kantorovich problem with additional restriction: admissible transport plans must vanish on some fixed functional subspace. Different choice of the subspace leads to different additional properties optimal…

Functional Analysis · Mathematics 2014-04-22 Danila Zaev

We study an optimal transport problem with a backward martingale constraint in a pseudo-Euclidean space $S$. We show that the dual problem consists in the minimization of the expected values of the Fitzpatrick functions associated with…

Probability · Mathematics 2023-12-11 Dmitry Kramkov , Mihai Sîrbu

In this paper we apply change of numeraire techniques to the optimal transport approach for computing model-free prices of derivatives in a two periods model. In particular, we consider the optimal transport plan constructed in…

Probability · Mathematics 2016-03-02 Luciano Campi , Ismail Laachir , Claude Martini

We prove existence and uniqueness of solutions for a system of PDEs which describes the growth of a sandpile in a silos with flat bottom under the action of a vertical, measure source. The tools we use are a discrete approximation of the…

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

We consider some repulsive multimarginal optimal transportation problems which include, as a particular case, the Coulomb cost. We prove a regularity property of the minimizers (optimal transportation plan) from which we deduce existence…

Optimization and Control · Mathematics 2016-09-01 Giuseppe Buttazzo , Thierry Champion , Luigi De Pascale

Given two n-dimensional measures $\mu$ and $\nu$ on Polish spaces, we propose an optimal transportation's formulation, inspired by classical Kan-torovitch's formulation in the scalar case. In particular, we established a strong duality…

Optimization and Control · Mathematics 2019-01-16 Xavier Bacon