Bellman equation with vector input

Hello,

I am trying to solve a dynamic programming problem with the help of the Bellman equation and backward recursion (meaning that optimum value must be found backwards, starting at the end)

My code looks like this:

function [V] = Bellman(K,B,P,G,T)
C = [B K-B]

for t=(T+1):-1:1
    for c=[1 1]:C
        if t==T+1
        V(c,t) = 0
        else
        V(c,t) = 0.5*max(V(c,t+1),P+V(c(1)-1,t+1)) + (t/(2*T))*max(V(c,t+1),G+V(c,t+1)) + 1-0.5-(t/(2*T))*V(c,t+1)
        end
    end
end

The value V should be calculated for each period t and for different capacity levels c. However each c consists of two elements (e.g.: c=[1 1]). Obviously, when I run my code, I get the error: Subscript indices must either be real positive integers or logicals, because either I have subscript indices of value 0 or my code isn't iterating over the vector c, whose element should increase by 1 seperatly (e.g. c=[1 1, 2 1, 2 2, 3 2, 3 3,...]).

I hope my problem is clear and someone can help me out.

Thanks !

[madhan ravi]

V(c(1)-1,t+1)) ==> c(1)=1 1-1 == 0 zero cannot be an index in matlab!!

Answer 1

[Jan]

Replace:

C = [B K-B];
for c=[1 1]:C
    ...

by

C = [B K-B];
for c1 = 1:B
    for c2 = 1:K-B
        c = [c1, c2]
        ...
    end
end

But the problem remains:

V(c(1)-1,t+1))

Here c(1)-1 is 0, as madhan has mentioned already.