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This paper considers consumption and portfolio optimization problems with recursive preferences in both infinite and finite time regions. Specially, the financial market consists of a risk-free asset and a risky asset that follows a general…

Optimization and Control · Mathematics 2024-12-30 Jian-hao Kang , Zhun Gou , Nan-jing Huang

We revisit the finite time analysis of policy gradient methods in the one of the simplest settings: finite state and action MDPs with a policy class consisting of all stochastic policies and with exact gradient evaluations. There has been…

Machine Learning · Computer Science 2021-12-14 Jalaj Bhandari , Daniel Russo

Recent work [Ran22] formulated a class of optimal control problems involving positive linear systems, linear stage costs, and elementwise constraints on control. It was shown that the problem admits linear optimal cost and the associated…

Optimization and Control · Mathematics 2023-09-27 Yuchao Li , Anders Rantzer

We consider the dynamic inventory problem with non-stationary demands. It has long been known that non-stationary (s, S) policies are optimal for this problem. However, finding optimal policy parameters remains a computational challenge as…

Optimization and Control · Mathematics 2020-07-20 Onur A. Kilic , S. Armagan Tarim

This paper addresses a continuous-time continuous-space chance-constrained stochastic optimal control (SOC) problem via a Hamilton-Jacobi-Bellman (HJB) partial differential equation (PDE). Through Lagrangian relaxation, we convert the…

Optimization and Control · Mathematics 2022-05-03 Apurva Patil , Alfredo Duarte , Aislinn Smith , Takashi Tanaka , Fabrizio Bisetti

We study the minimization of the expected costs under stochastic constraint at the terminal time. The first and the main result says that for a power type of costs, the value function is the minimal positive solution of a second order…

Probability · Mathematics 2020-01-28 Yan Dolinsky , Benjamin Gottesman , Ori Gurel-Gurevich

We consider a stochastic optimal exit time feedback control problem. The Bellman equation is solved approximatively via the Policy Iteration algorithm on a polynomial ansatz space by a sequence of linear equations. As high degree…

Optimization and Control · Mathematics 2020-10-12 Konstantin Fackeldey , Mathias Oster , Leon Sallandt , Reinhold Schneider

In this paper, we explore a new class of stochastic control problems characterized by specific control constraints. Specifically, the admissible controls are subject to the ratcheting constraint, meaning they must be non-decreasing over…

Optimization and Control · Mathematics 2024-12-17 Mingxin Guo , Zuo Quan Xu

Policy iteration (PI) is a widely used algorithm for synthesizing optimal feedback control policies across many engineering and scientific applications. When PI is deployed on infinite-horizon, nonlinear, autonomous optimal-control…

Optimization and Control · Mathematics 2025-07-15 Tobias Ehring , Behzad Azmi , Bernard Haasdonk

In this paper, we prove some convergence results of a special case of optimistic policy iteration algorithm for stochastic shortest path problem. We consider both Monte Carlo and $TD(\lambda)$ methods for the policy evaluation step under…

Machine Learning · Computer Science 2018-08-31 Yuanlong Chen

We analyze an optimal stopping problem with a constraint on the expected cost. When the reward function and cost function are Lipschitz continuous in state variable, we show that the value of such an optimal stopping problem is a continuous…

Optimization and Control · Mathematics 2017-08-08 Erhan Bayraktar , Song Yao

In this note, we study a class of indefinite stochastic McKean-Vlasov linear-quadratic (LQ in short) control problem under the control taking nonnegative values. In contrast to the conventional issue, both the classical dynamic programming…

Optimization and Control · Mathematics 2023-10-05 Xun Li , Liangquan Zhang

We consider the problem of optimally controlling stochastic, Markovian systems subject to joint chance constraints over a finite-time horizon. For such problems, standard Dynamic Programming is inapplicable due to the time correlation of…

Optimization and Control · Mathematics 2024-11-22 Niklas Schmid , Marta Fochesato , Sarah H. Q. Li , Tobias Sutter , John Lygeros

We demonstrate an iterative scheme to approximate the optimal transportation problem with a discrete target measure under certain standard conditions on the cost function. Additionally, we give a finite upper bound on the number of…

Optimization and Control · Mathematics 2012-10-10 Jun Kitagawa

In this paper, we propose a new policy iteration algorithm to compute the value function and the optimal controls of continuous time stochastic control problems. The algorithm relies on successive approximations using linear-quadratic…

Optimization and Control · Mathematics 2024-09-09 Dylan Possamaï , Ludovic Tangpi

Stochastic sequential decision making often requires hierarchical structure in the problem where each high-level action should be further planned with primitive states and actions. In addition, many real-world applications require a plan…

Artificial Intelligence · Computer Science 2022-05-12 Sungkweon Hong , Brian C. Williams

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

From economics point of view, we investigate a new optimal control problem driven by a stochastic differential equation with a multi-time states cost functional. By constructing a series of first-order adjoint equations, we establish the…

Optimization and Control · Mathematics 2016-09-15 Shuzhen Yang

We show that combinations of optimal (stationary) policies in unichain Markov decision processes are optimal. That is, let M be a unichain Markov decision process with state space S, action space A and policies \pi_j^*: S -> A (1\leq j\leq…

Combinatorics · Mathematics 2007-05-23 Ronald Ortner

We introduce a continuous policy-value iteration algorithm where the approximations of the value function of a stochastic control problem and the optimal control are simultaneously updated through Langevin-type dynamics. This framework…

Optimization and Control · Mathematics 2025-06-11 Qi Feng , Gu Wang