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optimality of the policy

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  • Constrained Pareto efficiency — The condition of Constrained Pareto optimality is a weaker version of the standard condition of Pareto Optimality employed in Economics which accounts for the fact that a potential planner (i.e. the government) may not be able to improve upon a… …   Wikipedia

  • Bellman equation — A Bellman equation (also known as a dynamic programming equation), named after its discoverer, Richard Bellman, is a necessary condition for optimality associated with the mathematical optimization method known as dynamic programming. It writes… …   Wikipedia

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  • Kaldor-Hicks efficiency — (named for Nicholas Kaldor and John Hicks) is a measure of economic efficiency that captures some of the intuitive appeal of Pareto efficiency, but has less stringent criteria and is hence applicable to more circumstances. Under Kaldor Hicks… …   Wikipedia

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