IDEAS home Printed from https://ideas.repec.org/a/inm/oropre/v30y1982i2p319-335.html
   My bibliography  Save this article

Iteration and Sensitivity for a Spatial Equilibrium Problem with Linear Supply and Demand Functions

Author

Listed:
  • Caulton L. Irwin

    (West Virginia University, Morgantown, West Virginia)

  • Chin W. Yang

    (West Virginia University, Morgantown, West Virginia)

Abstract

We investigate a set of spatial equilibrium conditions which apply, for example, to a multiregional, multicommodity market or to a physical system of interconnected sources and sinks. Under additional hypotheses, the equilibrium conditions are the Kuhn-Tucker conditions for a concave, quadratic programming problem. For the case in which the equilibrium conditions do not correspond to a programming problem, an iterative process for obtaining a solution is discussed. This iteration is motivated by the Project Independence Evaluation System (PIES) energy model algorithm. An algorithmic method to determine the sensitivity of an equilibrium solution vector to data perturbations is described. Both the sensitivity analysis and the convergence of the iterative solution method are based upon a solvability lemma, which guarantees that a solution of the equilibrium conditions may be expressed in terms of the problem data. Nondegeneracy assumptions for the inter-regional flows are unnecessary for this discussion. An example of the equilibrium problem which arose in modeling the supply and demand of eastern coal is briefly described.

Suggested Citation

  • Caulton L. Irwin & Chin W. Yang, 1982. "Iteration and Sensitivity for a Spatial Equilibrium Problem with Linear Supply and Demand Functions," Operations Research, INFORMS, vol. 30(2), pages 319-335, April.
    • Handle: RePEc:inm:oropre:v:30:y:1982:i:2:p:319-335
    DOI: 10.1287/opre.30.2.319
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1287/opre.30.2.319
    Download Restriction: no
    File URL: https://libkey.io/10.1287/opre.30.2.319?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Chin- Wei Yang & Dwight B. Means JR & George E. Moody, 1993. "Tax Rates and Total Tax Revenues From Local Property Taxes," Public Finance Review, , vol. 21(4), pages 355-377, October.
    2. Chin W. Yang, 1990. "An Evaluation of the Maxwell-Boltzmann Entropy Model of the Appalachian Steam Coal Market," The Review of Regional Studies, Southern Regional Science Association, vol. 20(1), pages 21-29, Winter.
    3. Yang, Chin W. & Hwang, Ming J. & Sohng, Soong N., 2002. "The Cournot competition in the spatial equilibrium model," Energy Economics, Elsevier, vol. 24(2), pages 139-154, March.
    4. C. W. Yang & Ken Hung, 2010. "Stability Of Rents And Returns As A Source Of Internal Financing: Evidence From Appalachian Coal Producers," Accounting & Taxation, The Institute for Business and Finance Research, vol. 2(1), pages 33-46.
    5. Chin W. Yang, 1989. "A Note on the Musgravian Transformation," Eastern Economic Journal, Eastern Economic Association, vol. 15(3), pages 229-234, Jul-Sep.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:inm:oropre:v:30:y:1982:i:2:p:319-335. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Asher (email available below). General contact details of provider: https://edirc.repec.org/data/inforea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.