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This paper examines the objective of optimally harvesting a single species in a stochastic environment. This problem has previously been analyzed in Alvarez (2000) using dynamic programming techniques and, due to the natural payoff…

Optimization and Control · Mathematics 2016-08-02 Richard H. Stockbridge , Chao Zhu

When randomness in demand affects the sales of a product, retailers use dynamic pricing strategies to maximize their profits. In this article, we formulate the pricing problem as a continuous-time stochastic optimal control problem and find…

Optimization and Control · Mathematics 2019-03-13 Asbjørn Nilsen Riseth

In multi-period stochastic optimization problems, the future optimal decision is a random variable whose distribution depends on the parameters of the optimization problem. We analyze how the expected value of this random variable changes…

Optimization and Control · Mathematics 2020-01-28 Bar Light

We consider a bilevel continuous knapsack problem where the leader controls the capacity of the knapsack, while the follower chooses a feasible packing maximizing his own profit. The leader's aim is to optimize a linear objective function…

Data Structures and Algorithms · Computer Science 2022-07-19 Christoph Buchheim , Dorothee Henke , Jannik Irmai

Price determination is a central research topic of revenue management in marketing. The important aspect in pricing is controlling the stochastic behavior of demand, and the previous studies have tackled price optimization problems with…

Optimization and Control · Mathematics 2024-01-04 Yuya Hikima , Akiko Takeda

A widely used heuristic for solving stochastic optimization problems is to use a deterministic rolling horizon procedure, which has been modified to handle uncertainty (e.g. buffer stocks, schedule slack). This approach has been criticized…

Optimization and Control · Mathematics 2017-03-16 Raymond T. Perkins , Warren B. Powell

In this paper, we consider a new problem of portfolio optimization using stochastic information. In a setting where there is some uncertainty, we ask how to best select $k$ potential solutions, with the goal of optimizing the value of the…

Data Structures and Algorithms · Computer Science 2024-12-03 Marina Drygala , Silvio Lattanzi , Andreas Maggiori , Miltiadis Stouras , Ola Svensson , Sergei Vassilvitskii

We study the incremental knapsack problem, where one wishes to sequentially pack items into a knapsack whose capacity expands over a finite planning horizon, with the objective of maximizing time-averaged profits. While various…

Data Structures and Algorithms · Computer Science 2020-10-16 Ali Aouad , Danny Segev

Production logistics has an important role as a chain that connects the components of the production system. The most important goal of production logistics plans is to keep the flow of the production system well. However, compared to the…

Optimization and Control · Mathematics 2022-04-01 Yongkuk Jeong , Gianpiero Canessa , Erik Flores-García , Tarun Kumar Agrawal , Magnus Wiktorsson

We consider a general class of dynamic resource allocation problems within a stochastic optimal control framework. This class of problems arises in a wide variety of applications, each of which intrinsically involves resources of different…

Optimization and Control · Mathematics 2018-01-08 Xuefeng Gao , Yingdong Lu , Mayank Sharma , Mark S. Squillante , Joost W. Bosman

Inspired by recent industrial efforts toward high altitude flying wireless access points powered by renewable energy, an online resource allocation problem for a mobile access point (AP) travelling at high altitude is formulated. The AP…

Networking and Internet Architecture · Computer Science 2015-10-16 Elif Tugce Ceran , Tugce Erkilic , Elif Uysal-Biyikoglu , Tolga Girici , Kemal Leblebicioglu

Stochastic optimization problems often involve data distributions that change in reaction to the decision variables. This is the case for example when members of the population respond to a deployed classifier by manipulating their features…

Optimization and Control · Mathematics 2020-12-15 Dmitriy Drusvyatskiy , Lin Xiao

In this paper, we propose a new approach for stochastic control problems arising from utility maximization. The main idea is to directly start from the dynamical programming equation and compute the conditional expectation using a novel…

Mathematical Finance · Quantitative Finance 2022-02-28 Jingtang Ma , Zhengyang Lu , Zhenyu Cui

This paper investigates the optimal harvesting strategy for a single species living in random environments whose growth is given by a regime-switching diffusion. Harvesting acts as a (stochastic) control on the size of the population. The…

Optimization and Control · Mathematics 2016-08-02 Qingshuo Song , Richard Stockbridge , Chao Zhu

Production planning must account for uncertainty in a production system, arising from fluctuating demand forecasts. Therefore, this article focuses on the integration of updated customer demand into the rolling horizon planning cycle. We…

Econometrics · Economics 2024-09-27 Manuel Schlenkrich , Wolfgang Seiringer , Klaus Altendorfer , Sophie N. Parragh

Optimal stopping is the problem of determining when to stop a stochastic system in order to maximize reward, which is of practical importance in domains such as finance, operations management and healthcare. Existing methods for…

Optimization and Control · Mathematics 2022-03-28 Xinyi Guan , Velibor V. Mišić

Standard stochastic control methods assume that the probability distribution of uncertain variables is available. Unfortunately, in practice, obtaining accurate distribution information is a challenging task. To resolve this issue, we…

Optimization and Control · Mathematics 2021-10-13 Insoon Yang

We deal with an infinite horizon, infinite dimensional stochastic optimal control problem arising in the study of economic growth in time-space. Such problem has been the object of various papers in deterministic cases when the possible…

Optimization and Control · Mathematics 2022-03-14 Fausto Gozzi , Marta Leocata

We consider the maximization problem of monotone submodular functions under an uncertain knapsack constraint. Specifically, the problem is discussed in the situation that the knapsack capacity is not given explicitly and can be accessed…

Data Structures and Algorithms · Computer Science 2018-03-08 Yasushi Kawase , Hanna Sumita , Takuro Fukunaga

We study data-driven learning of robust stochastic control for infinite-horizon systems with potentially continuous state and action spaces. In many managerial settings--supply chains, finance, manufacturing, services, and dynamic…

Machine Learning · Statistics 2025-11-18 Shengbo Wang , Jason Meng , Nian Si , Jose Blanchet , Zhengyuan Zhou