Accession Number : AD0635295
Title : OPTIMAL CAPITAL POLICY, THE COST OF CAPITAL AND MYOPIC DECISION RULES: THE CASE OF CHANGING DEPRECIATION AND EXTENSION TO S COMMODITIES.
Descriptive Note : Technical rept.
Corporate Author : STANFORD UNIV CALIF INST FOR MATHEMATICAL STUDIES IN THE SOCIAL SCIENCES
Personal Author(s) : Castelli, Carlo
Report Date : 06 JUL 1966
Pagination or Media Count : 44
Abstract : This is an extension of Professor Arrow's paper on 'Optimal Capital Policy, the Cost of Capital, and Myopic Decision Rules.' First, an alternative method of solution of the renewal equation is given. Then the optimal rule is extended to the case of many commodities with fixed depreciation. Then the case is considered of variable depreciation and the optimal rule for this, extended to the case of many commodities. Necessary and sufficient correlations for the optima are carefully studied. (Author)
Descriptors : (*DECISION MAKING, *MONEY), OPTIMIZATION, ECONOMICS
Subject Categories : Economics and Cost Analysis
Distribution Statement : APPROVED FOR PUBLIC RELEASE