Life Cycle Consumption
In this example a life-cycle consumption optimization problem has been modeled, including labor and assets.
Users of this application can make changes to the model from the user interface. Two types of utility functions are available:
- Exponential utility: Utility = - Exp( - Consumption ) - Labor^2
- Square root utility: Utility = Sqrt( Consumption ) - Labor^2
In addition, the user can choose to allow borrowing up to a chosen level, adding explicit modeling of assets to the model.
Please use the navigation in the left column to browse this example application.
Utility Function, Discount Factor, Present Value, Future Value, Nonlinear Programming, Nonlinear Solvers, Curve.
A zip file with this example can be downloaded here.