Open AccessNote—A Note on the Deterministic Capacity Problem
Author(s) -
Richard J. Giglio
Publication year - 1973
Publication title -
management science
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 4.954
H-Index - 255
eISSN - 1526-5501
pISSN - 0025-1909
DOI - 10.1287/mnsc.19.9.1096
Subject(s) - mathematical economics , economics , probabilistic logic , work (physics) , mathematics , mathematical optimization , thermodynamics , statistics , physics
This note extends some work by Manne [Manne, A. S. 1961. Capacity expansion and probabilistic growth. Econometrica 29 (4, October).], which dealt with the case where demand was growing linearly, and also some work by Srinivasan [Srinivasan, T. N. Geometric rate of growth of demand. Investments for Capacity Expansion 150-156.] who assumed demand was growing geometrically. The difference lies in the form of the demand which here is assumed to be growing at a decreasing rate.