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Optimal control analysis of a mathematical model for unemployment
Author(s) -
Munoli Surekha B.,
Gani Shankrevva
Publication year - 2015
Publication title -
optimal control applications and methods
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.458
H-Index - 44
eISSN - 1099-1514
pISSN - 0143-2087
DOI - 10.1002/oca.2195
Subject(s) - unemployment , pontryagin's minimum principle , optimal control , control (management) , economics , population , labour economics , maximum principle , mathematics , mathematical optimization , macroeconomics , medicine , management , environmental health
SUMMARY Unemployment is continuously increasing worldwide because of enormous increase in population. This paper attempts to propose an optimal control policy for a deterministic unemployment model. The model considers three states, namely, unemployment, employment, and newly created vacancies. Factors like retirement and death of employed persons, termination from job, and so forth are also included in the model. The optimal control analysis for proposed unemployment model is performed using Pontryagin's maximum principle. The conditions for optimal control of the unemployment problem with effective use of implemented policies to provide employment to unemployed persons and to create new vacancies are derived and analyzed. Copyright © 2015 John Wiley & Sons, Ltd.