• DocumentCode
    2999785
  • Title

    Free choice and uncertainty in policy optimization with an econometric model

  • Author

    Woodside, C.M.

  • Author_Institution
    Carleton University, Ottawa, Canada
  • fYear
    1972
  • fDate
    13-15 Dec. 1972
  • Firstpage
    151
  • Lastpage
    152
  • Abstract
    The use of dynamic optimization should be to guide, not to command the economic policymaker. This paper develops previous work on the Bank of Canada´s national econometric model RDX2, to define an indifference set for the optimal policy based on a confidence set for selected model disturbances and a sensitivity analysis of the calculated optimum. Within the indifference set a policy may be chosen on other grounds, and still represent whatever wisdom is embodied in the model and the optimization.
  • Keywords
    Cost function; Econometrics; Helium; Least squares methods; Mathematical model; Newton method; Optimal control; Predictive models; Recursive estimation; Uncertainty;
  • fLanguage
    English
  • Publisher
    ieee
  • Conference_Titel
    Decision and Control, 1972 and 11th Symposium on Adaptive Processes. Proceedings of the 1972 IEEE Conference on
  • Conference_Location
    New Orleans, Louisiana, USA
  • Type

    conf

  • DOI
    10.1109/CDC.1972.268968
  • Filename
    4044891