The results of the November 2004 US elections suggest that the initial missile defense capabilities fielded in 2004 will be developed and expanded during the next 4 years. This process will require a significant amount of money, and therefore, the problem of optimal allocation of funds becomes relevant.
In this paper, the author presents a theoretical dynamic model for appropriation of funds for developing and deploying defensive systems and maintaining/modernizing offensive systems such as the country's security to be optimized. The offensive systems are regarded as state variables, and the defensive systems as control variables. The criterion of performance consists in the minimization of the number of incoming missiles which cannot be destroyed by the defensive systems. The optimal solutions are calculated by using the Pontryaguine principle.
One observes that depending on the impact of the development of missile defense systems on the modernization of offensive systems, different policies of fund appropriation should be considered. One also remarks that under given circumstances only one (in theory), or a couple of very close policies (in practice) may be regarded as optimal.
The relationship between the development of missile defense systems and the modernization of offensive systems (or the creation of new offensive systems) is studied by using dynamic systems theory. The optimal appropriation of financial funds is done by applying the principle of Pontryaguine.
