Mathematics for Economists

Optimal control

IfC=0 thenx0 which generally does not satisfy the boundary

conditions. IfC 6 =0 thenC>0 hencex^2 > 0

x^2 C



x

 2

=C

2 xx = 2 Cxx,

xx

C

= 0.

From here the solution is the same as above.