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Mathematical Programming of Long-Term Plans in Hungary

In: Activity Analysis in the Theory of Growth and Planning

Author

Listed:
  • J. Kornai

    (Computing Centre of the Hungarian Academy of Sciences)

Abstract

During the course of the past two or three years, a beginning has been made in Hungary in the use of mathematical methods and econometric models for long-term planning. The author has, together with economists, mathematicians, and engineers, conducted several investigations of this kind. First, a linear programming problem was solved for the cotton industry, to determine this sector’s five-year investment plan. Next, non-linear programming was used in computing data to serve as a foundation for the development of the Hungarian synthetic-fibre industry. Similar research was also applied to the bauxite and aluminium industry. Finally, a mathematical model was worked out for programming a long-term plan for the national economy as a whole, in which central and sectoral programming are linked to one another. The preparation of a numerical computing project based on this macro-economic model is now under way.

Suggested Citation

  • J. Kornai, 1967. "Mathematical Programming of Long-Term Plans in Hungary," International Economic Association Series, in: E. Malinvaud & M. O. L. Bacharach (ed.), Activity Analysis in the Theory of Growth and Planning, chapter 0, pages 211-231, Palgrave Macmillan.
    • Handle: RePEc:pal:intecp:978-1-349-08461-6_8
    DOI: 10.1007/978-1-349-08461-6_8
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    Cited by:

    1. Wladimir Andreff, 2021. "Janos Kornai: a non-mainstream pathway from economic planning to disequilibrium economics," Public Choice, Springer, vol. 187(1), pages 63-83, April.

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