Demo: Life Cycle Consumption Problem

For the best results, we recommend using Firefox for this interactive case study.
To solve the Life Cycle Consumption Problem:

  • Enter a planning horizon (max=10), a discount factor, and an interest rate.
  • Select a utility function.
  • Click "Submit" to solve the problem using the NEOS Server.
  • Wait for the results to show up in the solution section at the bottom. The solution section will display the
    objective value and the optimal amount to consume in each period.

Back to Life Cycle Consumption case study.

Input Parameters

Planning Horizon (T)
Discount Factor
Interest Rate
Utility Function
Wage Function w(p,T)
Solver

  

Solution

Objective Value
Consumption Period 1 
Period 2 
Period 3 
Period 4 
Period 5 
Period 6 
Period 7 
Period 8 
Period 9 
Period 10