The purpose of this cemmap masterclass is to provide participants with an understanding of dynamic programming (DP) models and their empirical application. The DP framework has been extensively used in economics to model sequential decision-making over time and under uncertainty. Prominent examples include saving/consumption decisions, retirement behavior, investment, labor supply/demand, housing decisions, and vehicle replacement decisions.
The masterclass will first review the theoretical concepts and computational approaches, and then focus on modern empirical applications covering both discrete and continuous decision problems, large scale problems and dynamic games.
Tuesday 8 - Wednesday 9 December 2015
10.30 - 17.00 each day
CILIP (same building as the IFS), London