PROBLEMS OF INCORPORATING AND INTERPRETING COSTS IN OPTIMIZATION MODELS Cover Image

POLITICA DE “SCREENING” A BĂNCILOR COMERCIALE EUROPENE
PROBLEMS OF INCORPORATING AND INTERPRETING COSTS IN OPTIMIZATION MODELS

Author(s): Marija Cileg, Tibor Kis
Subject(s): Economy
Published by: Editura Eurostampa
Keywords: Sensitivity analysis; Duality; Fractional criterion function

Summary/Abstract: This paper deals with the analysis of costs incorporated into programming models as limits, while examining appropriate economic interpretation. Possibilities of including costs into criterion functions of linear and nonlinear models are also analyzed. The algorithm suggested in this paper relates to the determination of intervals of validity of dual prices and sensitivity analysis of fractional criterion function. Paper stresses out the necessity of analyzing information content of such models.

  • Issue Year: XIII/2007
  • Issue No: 13
  • Page Range: 20-27
  • Page Count: 8
  • Language: English
Toggle Accessibility Mode