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  1. 1 Kozgazdasagi Szemle (Economic Review)

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  1. 1 Dobos I.

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  1. 1 2009

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DYNAMIC OPTIMIZATION AND THE LEONTIEF MODEL (Dinamikus optimalizalas es a Leontief-modell)

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Dobos I.
Kozgazdasagi Szemle (Economic Review)
|
2009
|
vol. 56
|
issue 1
84-92
EN
The study presents three economic applications of variation calculations. All three rely on the Leontief model. After examination of the optimal courses, an answer is sought to whether the solutions to the Euler-Lagrange differential equation system are really optimal solutions to the models. The study concludes that the optimal solutions can only be determined by introducing additional economic conditions. At the same time, the models presented can be fitted into a general framework with the help of the conditions outlined. The final conclusion of the study is that the optimal solution of all three models fits into the Neumann band.
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