OPTIMAL-CONTROL PROBLEMS INVOLVING OPTIMAL ECONOMIC-GROWTH WITH INFINITE-HORIZON

We examine the existence of optimal solutions for a very general optim al economic growth problem with unbounded planning time horizon. A con vexity hypothesis about a certain orientor field plays a crucial role in the proof. Then we conduct sensitivity analysis and determine the r elation between optimal pairs and the initial capital accumulation. Fi nally we see what happens if the convexity hypothesis we have made no longer exists. This leads us to the introduction of the relaxed system and its comparison with the original one.