Abstract
Dynamic programming is a method that solves a complicated multi-stage decision problem by first transforming it into a sequence of simpler problems. Bellman equations, named after the creator of dynamic programming Richard E. Bellman (1920–1984), are functional equations that embody this transformation.
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Shin, Y. (2018). Bellman Equation. In: The New Palgrave Dictionary of Economics. Palgrave Macmillan, London. https://doi.org/10.1057/978-1-349-95189-5_2392
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DOI: https://doi.org/10.1057/978-1-349-95189-5_2392
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