Analysis of a Degenerate Obstacle Problem on an Unbounded Set Arising in the Environment

Analysis of a Degenerate Obstacle Problem on an Unbounded Set Arising in the Environment We study a class of optimization dynamics problems related to investment under uncertainty. The general model problem is reformulated in terms of an obstacle problem associated to a second-order elliptic operator which is not in divergence form. The spatial domain is unbounded and no boundary conditions are a priori specified. By using the special structure of the differential operator and the spatial domain, and some approximating arguments, we show the existence and uniqueness of a solution of the problem. We also study the regularity of the solution and give some estimates on the location of the coincidence set. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Applied Mathematics and Optimization Springer Journals

Analysis of a Degenerate Obstacle Problem on an Unbounded Set Arising in the Environment

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Publisher
Springer-Verlag
Copyright
Copyright © Inc. by 2002 Springer-Verlag New York
Subject
Mathematics; Calculus of Variations and Optimal Control; Optimization; Systems Theory, Control; Theoretical, Mathematical and Computational Physics; Mathematical Methods in Physics; Numerical and Computational Physics, Simulation
ISSN
0095-4616
eISSN
1432-0606
D.O.I.
10.1007/s00245-001-0038-2
Publisher site
See Article on Publisher Site

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