Computing True Shadow Prices in Linear Programming.

Abstract

It is well known that in linear programming, the optimal values of the dual variables can be interpreted as shadow prices (marginal values) of the right-hand-side coefficients. However, this is true only under nondegeneracy assumptions. Since real problems are often degenerate, the output from conventional LP software regarding such marginal information can be misleading. This paper surveys and generalizes known results in this topic and demonstrates how true shadow prices can be computed with or without modification to existing software. Keywords: Optimization software.

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Document Details

Document Type
Technical Report
Publication Date
Apr 01, 1987
Accession Number
ADA191468

Entities

People

  • Darren Smith
  • James K. Ho

Organizations

  • University of Tennessee

Tags

DTIC Thesaurus Topics

  • Algorithms
  • Business Administration
  • Coefficients
  • Computations
  • Computer Programming
  • Computer Programs
  • Dynamic Programming
  • Evolutionary Algorithms
  • Linear Programming
  • Mathematical Programming
  • Military Research
  • Operations Research
  • Optimization
  • Perturbations
  • Quadratic Programming
  • Simplex Method
  • Universities

Fields of Study

  • Computer science

Readers

  • Operations Research
  • Regression Analysis.