Efficiency Pricing in a Linear Programming Model: A Case with Constraints on Dual Variables.
Abstract
A programming model of the regulated public company facing downward sloping demand curves for its products is presented. It is assumed that the company is seeking to minimize its cost of production while meeting demand for its products for which users will pay marginal costs of production (efficiency prices). With linear demand curves the model fits into the linear complementarity programming framework.
Document Details
- Document Type
- Technical Report
- Publication Date
- Nov 01, 1974
- Accession Number
- ADA012997
Entities
People
- Lars Mathiesen
Organizations
- Stanford University