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In this paper, we derive team and person-by-person optimality conditions fordistributed differential decision systems with different or decentralizedinformation structures. The necessary conditions of optimality are given interms of Hamiltonian system of equations consisting of a coupled backward andforward differential equations and a Hamiltonian projected onto the subspacegenerated by the decentralized information structures. Under certain globalconvexity conditions it is shown that the optimality conitions are alsosufficient.

Team and Person-by-Person Optimality Conditions of Differential Decision Systems