In the literature on price characterization of optimal paths in stationary models of optimal growth, distinct “transversality conditions” have been presented, depending on whether or not utilities are discounted. In the discounted case, this condition takes the form that asymptotically the...

We show that in multi-sector optimal growth models, where the technology satisfies a simple reachability condition, infinite horizon programs which satisfy the competitive conditions are optimal. We provide examples of a variety of production models where the reachability condition is satisfied....

Why not set a maximum on bank reserves, wonders Swapan Dasgupta?

The paper examines the theory of optimal forest management with a view to describing its transition dynamics. In contrast to the literature's emphasis on long-run behavior of optimally managed forests, we focus on the nature of the optimal policy function, which describes the harvesting and...