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Horizontal Information Flows in A Simple Model of Multilevel Planning

Author

Listed:
  • T. R. Kundu

    (Kurukshetra University)

Abstract

Most formal models of multilevel economic planning allow for vertical information flows but not horizontal flows between agents on the same level. This papers develops a simple model of multilevel planning where horizontal flows form an integral part of the planning procedure. The procedure is designed to have a flow cost structure, achieve greated informational decentralization, and preserve systemic stability when the normal planning breaks down and laissez-faire takes over. The procedure is compared with two other procedures in the literature that use vertical flows only. The comparative advanteages of the procedures are established and also confirmed under certain parametric variations.

Suggested Citation

  • T. R. Kundu, 2000. "Horizontal Information Flows in A Simple Model of Multilevel Planning," Indian Economic Review, Department of Economics, Delhi School of Economics, vol. 35(1), pages 67-76, January.
  • Handle: RePEc:dse:indecr:v:35:y:2000:i:1:p:67-76
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    More about this item

    JEL classification:

    • C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques
    • O21 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Planning Models; Planning Policy
    • P41 - Economic Systems - - Other Economic Systems - - - Planning, Coordination, and Reform

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