Games Arising Form Infinite Production Situations
CentER Discussion Paper Series No. 1999-57
Posted: 21 Feb 2000
Date Written: 1999
OWEN (1975) introduced linear production (LP) situations and TIMMER,BORM and SUIJS (1998) introduced more general situations involving the linear transformation of products (LTP). They showed that the corresponding LTP games are totally balanced. In this paper we look at LTP situations with an infinite number of transformation techniques. The linear program that calculates the maximal profit, is a semi-infinite program. We show that an optimal solution of the dual program exists and that it is a core-element of the corresponding LTP game.
JEL Classification: C61, C71
Suggested Citation: Suggested Citation