FUZZY DYNAMIC PROGRAMMING FOR THE MODELING OF SUSTAINABLE REGIONAL DEVELOPMENT

We first present a brief account of fuzzy dynamic programming as a general tool for the modeling and solution of multistage decision making and control problem under imprecise information. We show the use of fuzzy dynamic programming for solving a sustainable regional development problem in which many crucial aspects, life quality indicators, are subject to human judgments and evaluations which may be both objective and subjective, and have some limitations implied by human cognitive abilities. We illustrate our discussion on an example of how a best (optimal) investment policy can be obtained under different development scenarios.