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Neighborhood Systems for Production Sets with Indivisibilities

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Abstract

A production set with indivisibilities is described by an activity analysis matrix with activity levels which can assume arbitrary integral values. A neighborhood system is an association with each integral vector of activity levels of a finite set of neighboring vectors. The neighborhood relation is assumed to be symmetric and translation invariant. Each such neighborhood system can be used to define a local maximum for the associated integer programs obtained by selecting a single commodity whose level is to be maximized subject to specified factor endowments of the remaining commodities. It is shown that each technology matrix (subject to mild regularity assumptions) has a unique, minimal neighborhood system for which a local maximum is global. The complexity of such minimal neighborhood systems is examined for several examples.
(This abstract was borrowed from another version of this item.)
(This abstract was borrowed from another version of this item.)
(This abstract was borrowed from another version of this item.)

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  • Herbert E. Scarf, 1984. "Neighborhood Systems for Production Sets with Indivisibilities," Cowles Foundation Discussion Papers 728, Cowles Foundation for Research in Economics, Yale University.
    • Handle: RePEc:cwl:cwldpp:728
    Note: CFP 648.
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    1. Brown, Donald J & Heal, Geoffrey M, 1983. "Marginal vs. Average Cost Pricing in the Presence of a Public Monopoly," American Economic Review, American Economic Association, vol. 73(2), pages 189-193, May.
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    1. Tone, Kaoru & Sahoo, Biresh K., 2003. "Scale, indivisibilities and production function in data envelopment analysis," International Journal of Production Economics, Elsevier, vol. 84(2), pages 165-192, May.
    2. Walter Briec & Kristiaan Kerstens, 2006. "Input, output and graph technical efficiency measures on non-convex FDH models with various scaling laws: An integrated approach based upon implicit enumeration algorithms," TOP: An Official Journal of the Spanish Society of Statistics and Operations Research, Springer;Sociedad de Estadística e Investigación Operativa, vol. 14(1), pages 135-166, June.
    3. Koshevoy, Gleb A. & Talman, Dolf, 2006. "Competitive equilibria in economies with multiple indivisible and multiple divisible commodities," Journal of Mathematical Economics, Elsevier, vol. 42(2), pages 216-226, April.
    4. Francesco Luna, 2004. "Research and Development in Computable Production Functions," Metroeconomica, Wiley Blackwell, vol. 55(2‐3), pages 180-194, May.
    5. Koshevoy, G.A. & Talman, A.J.J., 2006. "Competitive Equilibria in Economies with Multiple Divisible and Indivisible Commodities and No Money," Other publications TiSEM 130306fe-6e3c-499c-b776-c, Tilburg University, School of Economics and Management.
    6. Shubik, Martin, 1990. "A game theoretic approach to the theory of money and financial institutions," Handbook of Monetary Economics, in: B. M. Friedman & F. H. Hahn (ed.), Handbook of Monetary Economics, edition 1, volume 1, chapter 5, pages 171-219, Elsevier.
    7. van der Laan, G. & Talman, A.J.J. & Yang, Z.F., 1999. "Existence and Welfare Properties of Equilibrium in an Exchange Economy with Multiple Divisible, Indivisible Commodities and Linear Production Technologies," Other publications TiSEM e7e05539-3fab-4998-818d-0, Tilburg University, School of Economics and Management.
    8. Pascal Gauthier & Timothy J. Kehoe & Erwan Quintin, 2022. "Constructing pure-exchange economies with many equilibria," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 73(2), pages 541-564, April.
    9. Truchon, Michel, 1988. "Programmation mathématique et théorie économique," L'Actualité Economique, Société Canadienne de Science Economique, vol. 64(2), pages 143-156, juin.
    10. van der Laan, Gerard & Talman, Dolf & Yang, Zaifu, 2002. "Existence and Welfare Properties of Equilibrium in an Exchange Economy with Multiple Divisible and Indivisible Commodities and Linear Production Technologies," Journal of Economic Theory, Elsevier, vol. 103(2), pages 411-428, April.
    11. Ning Sun & Zaifu Yang, 2008. "A Double-Track Auction for Substitutes and Complements," KIER Working Papers 656, Kyoto University, Institute of Economic Research.
    12. Zaifu Yang, 2008. "On the Solutions of Discrete Nonlinear Complementarity and Related Problems," Mathematics of Operations Research, INFORMS, vol. 33(4), pages 976-990, November.
    13. Imre Bárány & Herbert Scarf, 2008. "Matrices with Identical Sets of Neighbors," Palgrave Macmillan Books, in: Zaifu Yang (ed.), Herbert Scarf’s Contributions to Economics, Game Theory and Operations Research, chapter 10, pages 179-189, Palgrave Macmillan.
    14. van der Laan, G. & Talman, A.J.J. & Yang, Z.F., 2002. "Existence and welfare properties of equilibrium in an exchange economy with multiple divisible and indivisible commodities and linear production," Other publications TiSEM 5a5610bf-4f85-4a25-963c-c, Tilburg University, School of Economics and Management.
    15. Sahoo, Biresh K. & Tone, Kaoru, 2013. "Non-parametric measurement of economies of scale and scope in non-competitive environment with price uncertainty," Omega, Elsevier, vol. 41(1), pages 97-111.
    16. Halkos, George & Sundström, Aksel & Tzeremes, Nickolaos, 2013. "Environmental performance and quality of governance: A non-parametric analysis of the NUTS 1-regions in France, Germany and the UK," MPRA Paper 48890, University Library of Munich, Germany.
    17. Satoru Fujishige & Zaifu Yang, 2012. "On Revealed Preference and Indivisibilities," Discussion Papers 12/02, Department of Economics, University of York.
    18. Matteo Fischetti & Domenico Salvagnin, 2010. "Pruning Moves," INFORMS Journal on Computing, INFORMS, vol. 22(1), pages 108-119, February.
    19. Satoru Fujishige & Zaifu Yang, 2002. "Existence of an Equilibrium in a General Competitive Exchange Economy with Indivisible Goods and Money," Annals of Economics and Finance, Society for AEF, vol. 3(1), pages 135-147, May.
    20. Robert Weismantel, 1998. "Test sets of integer programs," Mathematical Methods of Operations Research, Springer;Gesellschaft für Operations Research (GOR);Nederlands Genootschap voor Besliskunde (NGB), vol. 47(1), pages 1-37, February.

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