Turnpike Set Analysis in Stochastic Manufacturing Systems with Long-Run Average Cost

Abstract:  This paper considers an optimal production planning problem for an infinite horizon stochastic manufacturing system with long-run average cost criterion.  The optimal feedback control is characterized by turnpike sets with the aid of viscosity solutions to the dynamic programming equations.  The structure of the turnpike sets is analyzed.  It is shown that the turnpike sets exhibit the monotone property with respect to the system's production capacity.