Deflation for semismooth equations

Variational inequalities can in general support distinct solutions. In this paper we study an algorithm for computing distinct solutions of a variational inequality, without varying the initial guess supplied to the solver. The central idea is the combination of a semismooth Newton method with a deflation operator that eliminates known solutions from consideration. Given one root of a semismooth residual, deflation constructs a new problem for which a semismooth Newton method will not converge to the known root, even from the same initial guess. This enables the discovery of other roots. We prove the effectiveness of the deflation technique under the same assumptions that guarantee locally superlinear convergence of a semismooth Newton method. We demonstrate its utility on various finite- and infinite-dimensional examples drawn from constrained optimization, game theory, economics and solid mechanics.Comment: 24 pages, 3 figure

Characterization of well-posedness of piecewise linear systems

One of the basic issues in the study of hybrid systems is the well-posedness (existence and uniqueness of solutions) problem of discontinuous dynamical systems. The paper addresses this problem for a class of piecewise-linear discontinuous systems under the definition of solutions of Caratheodory. The concepts of jump solutions or of sliding modes are not considered here. In this sense, the problem to be discussed is one of the most basic problems in the study of well-posedness for discontinuous dynamical systems. First, we derive necessary and sufficient conditions for bimodal systems to be well-posed, in terms of an analysis based on lexicographic inequalities and the smooth continuation property of solutions. Next, its extensions to the multimodal case are discussed. As an application to switching control, in the case that two state feedback gains are switched according to a criterion depending on the state, we give a characterization of all admissible state feedback gains for which the closed loop system remains well-pose

Investment and Dividends under Irreversibility and Financial Constraints

Research finds that firms' investment and dividend policies are distorted by irreversibility and finance constraints. Whereas the existing literature examines these features separately, this paper considers their interaction. The main theoretical result concerns the separation of the investment and payout thresholds. The ordering of investment and distribution activities is endogenously determined and depends on the levels of capacity and cash balances in a manner consistent with a life- cycle interpretation of firm behaviour. The concavity of the revenue function is capital stock and the complementarily of the constraints drive these results. Important ramifications for empirical work on investment are discussed.Investment, dividend policy, irreversibility, financial constraints

A convex analysis approach to optimal controls with switching structure for partial differential equations

Optimal control problems involving hybrid binary-continuous control costs are challenging due to their lack of convexity and weak lower semicontinuity. Replacing such costs with their convex relaxation leads to a primal-dual optimality system that allows an explicit pointwise characterization and whose Moreau-Yosida regularization is amenable to a semismooth Newton method in function space. This approach is especially suited for computing switching controls for partial differential equations. In this case, the optimality gap between the original functional and its relaxation can be estimated and shown to be zero for controls with switching structure. Numerical examples illustrate the effectiveness of this approach

Entropic Regularization Approach for Mathematical Programs with Equilibrium Constraints

A new smoothing approach based on entropic perturbationis proposed for solving mathematical programs withequilibrium constraints. Some of the desirableproperties of the smoothing function are shown. Theviability of the proposed approach is supported by acomputationalstudy on a set of well-known test problems.mathematical programs with equilibrium constraints;entropic regularization;smoothing approach