Control theory and economic policy: Balance and perspectives

摘要

This paper provides a selective survey of applications of control theory to the analysis of economic policy problems. We discuss applications of closed-loop control and of optimum control theory, including deterministic, stochastic and decentralized optimum control. Promising areas of mutual cooperation between control theorists and economists such as robust control and dynamic game theory are identified. A critical evaluation is given of different control theory approaches to an empirically useful theory of economic policy.