We present a generalization of the average shadow price in 0-1-Mixed Integer Linear Programming problems and its relation with bottlenecks including the analysis relative to the coefficients matrix of resource constraints. A mathematical programming approach to find the strategy for investment in resources is presented. KeywordsMixed Integer programming, Average shadow price, Bottlenecks, Resou...

We apply backward induction to derive optimal price functions. In the second period, given first period price p 1 , the firm selects second period price p 2 (p 2 < Max{q, R}) to maximize its second period profit: The profit function can be reduced to four possibilities based on the value of p 1 : By maximizing profit in each of the four cases, we can derive the optimal second period price p 2 a...

CCS (carbon dioxide capture and storage) is an issue which has received increasing attention in the debate on climate change over the last several years because of its relative technical simplicity and very large potential in reducing carbon dioxide emissions. The absence of secondary benefits and uncertainties associated with this approach, however, would require analysts to conduct fine costb...

in this study, yield-water and profit function was used to obtain water demand function in agriculture sector. the results showed that the ratio of actual to potential evapotranspiration had positive, significant effecton the ratio of actual to potential yield for wheat and barley. also, square ratio of actual to potential evapotranspiration had negative, significant relationship. after estimat...

In this appendix we provide more extensive proofs of results in the main paper. In particular we explicitly prove results that are direct adaptations of arguments from Atkeson and Lucas (1995) and hence omitted in the main paper We also provide a detailed discussion of the algorithm used in the quantitative exercises of the main papers. 1 Proofs1 1.1 Optimal Policies Induce E¢cient Allocations ...

Interactions with sea turtles have occurred at an alarming rate in swordfish longlining in Hawaii in recent years and various regulations have been put forward to protect sea turtles. In order to understand the cost of reducing sea turtle interactions, methods have been developed to derive the shadow price of sea turtle bycatch based on fisher's welfare loss from a specific regulation. This pap...

As the demand for cloud computing continues to increase, cloud service providers face the daunting challenge to meet the negotiated SLA agreement, in terms of reliability and timely performance, while achieving costeffectiveness. This challenge is increasingly compounded by the increasing likelihood of failure in largescale clouds and the rising cost of energy consumption. This paper proposes S...

as one of the most important products of iran, pistachio has a significant share in non-oil revenues. its annual foreign exchange earnings are over 800 million dollars. however, production of this nut in the country’s major production centers is faced with many problems regarding the efficiency and productivity of the inputs. this study was performed by using two-stage cluster sampling method. ...

Malta, like many other countries, is faced with the problem of sustaining the coverage and quality of the services offered by its public health system in the face of a rapid rise in health care costs. Within this context, local public health services must undergo the necessary transformation in order to meet future needs, expectations and demands of health care consumers. The aim of this paper ...

In the preceding chapter on sensitivity analysis, we saw that the shadow-price interpretation of the optimal simplex multipliers is a very useful concept. First, these shadow prices give us directly the marginal worth of an additional unit of any of the resources. Second, when an activity is ‘‘priced out’’ using these shadow prices, the opportunity cost of allocating resources to that activity ...