Practical Applications of Linear Programming Duality

The objective of this book is the application of main theoretical ideas concerning linear programming dual prices to the analysis of specific planning problems. Among the new applied problems considered there are: elimination of production bottlenecks, decentralized planning, river transport, coordination of economic interests and production plans, optimal development strategies, mutually profitable trade, pricing for new equipment. Some new theoretical results are also provided (algorithms for block angular linear programs, stability domains of dual prices, conditions for preservation of the optimal basis). The exposition is amply illustrated with numerical examples solved in detail.