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Mathematical Programming for Agricultural, Environmental, and Resource Economics PDF

514 Pages·2012·6.66 MB·English
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This page intentionally left blank ffirs.qxd 11/29/10 8:21 PM Page i MATHEMATICAL PROGRAMMING FOR AGRICULTURAL, ENVIRONMENTAL, AND RESOURCE ECONOMICS This page intentionally left blank ffirs.qxd 11/29/10 8:21 PM Page iii MATHEMATICAL PROGRAMMING FOR AGRICULTURAL, ENVIRONMENTAL, AND RESOURCE ECONOMICS HARRY M. KAISER Cornell University and KENT D. MESSER University of Delaware John Wiley & Sons, Inc. ffirs.qxd 11/29/10 8:21 PM Page iv Vice President & Publisher George Hoffman Acquisitions Editor Lacey Vitetta Project Editor Jennifer Manias Senior Editorial Assistant Emily McGee Assistant Marketing Manager Diane Mars Media Editor Greg Chaput Production Manager Janis Soo Assistant Production Editor Yee Lyn Song Cover Designer Seng Ping Ngieng Cover Photo Credit (sunflowers) Travel Library Limited/SuperStock; (turbines) Robert Huberman/SuperStock; (boats) Axiom Photographic Limited/SuperStock; (bear) James Urbach/SuperStock This book was set in 10/12 Times Roman by MPS Limited, a Macmillan Company, and printed and bound by Hamilton Printing Company. The cover was printed by Hamilton Printing Company. This book is printed on acid free paper. (cid:1) Founded in 1807, John Wiley & Sons, Inc. has been a valued source of knowledge and understanding for more than 200 years, helping people around the world meet their needs and fulfill their aspirations. Our company is built on a foundation of principles that include responsibility to the communities we serve and where we live and work. In 2008, we launched a Corporate Citizenship Initiative, a global effort to address the environmental, social, eco- nomic, and ethical challenges we face in our business. Among the issues we are addressing are carbon impact, paper specifications and procurement, ethical conduct within our business and among our vendors, and commu- nity and charitable support. For more information, please visit our website: www.wiley.com/go/citizenship. Copyright © 2011 John Wiley & Sons, Inc. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning or otherwise, except as permitted under Sections 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc. 222 Rosewood Drive, Danvers, MA 01923, website www.copyright.com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030-5774, (201)748-6011, fax (201)748- 6008, website http://www.wiley.com/go/permissions. Evaluation copies are provided to qualified academics and professionals for review purposes only, for use in their courses during the next academic year. These copies are licensed and may not be sold or transferred to a third party. Upon completion of the review period, please return the evaluation copy to Wiley. Return instructions and a free of charge return shipping label are available at www.wiley.com/go/returnlabel. Outside of the United States, please contact your local representative. Library of Congress Cataloging-in-Publication Data Kaiser, Harry Mason. Mathematical programming for agricultural, environmental, and resource economics / Harry M. Kaiser, Kent D. Messer. p. cm. Includes index. ISBN 978-0-470-59936-5 (hardback) 1. Programming (Mathematics) 2. Nonlinear programming. 3. Evolutionary economics— Mathematical models. I. Messer, Kent D. II. Title. QA402.5.K25 2011 658.4'033—dc22 2010039902 Printed in the United States of America 10 9 8 7 6 5 4 3 2 1 In appreciation for their love and support, we dedicate this book to our families Kathy, Dylan, Ella, Elizabeth, and G.G. (Harry M. Kaiser) and Katherine, Madeline, and Eleanor (Kent D. Messer) This page intentionally left blank ftoc.qxd 11/29/10 8:21 PM Page vii Brief Contents Part 1 LINEAR PROGRAMMING 1 Chapter 1 INTRODUCTORY CONCEPTS AND THE GRAPHICAL APPROACH TO LINEAR PROGRAMMING 2 Chapter 2 THE SIMPLEX METHOD TO SOLVING LINEAR PROGRAMMING PROBLEMS 55 Chapter 3 SENSITIVITY ANALYSIS USING THE SIMPLEX METHOD AND DUALITY 88 Chapter 4 FARM-LEVEL LINEAR PROGRAMMING MODELS 135 Chapter 5 TRANSPORTATION AND ASSIGNMENT MODELS FOR FOOD AND AGRICULTURAL MARKETS 173 Chapter 6 NATURAL RESOURCE AND ENVIRONMENTAL ECONOMICS APPLICATIONS OF LINEAR PROGRAMMING 211 Part 2 RELAXING THE ASSUMPTIONS OF LINEAR PROGRAMMING 247 Chapter 7 INTEGER AND BINARY PROGRAMMING 248 Chapter 8 OPTIMIZATION OF NONLINEAR FUNCTIONS 283 Chapter 9 GLOBAL APPROACHES TO NONLINEAR OPTIMIZATION 321 Chapter 10 RISK PROGRAMMING MODELS 347 Chapter 11 PRICE ENDOGENOUS MATHEMATICAL PROGRAMMING MODELS 401 Chapter 12 GOAL PROGRAMMING 427 Chapter 13 DYNAMIC PROGRAMMING 453 Index 485 vii This page intentionally left blank

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Mathematical Programming Models for Agriculture, Environmental, and Resource Economics provides a comprehensive overview of mathematical programming models and their applications to real world and important problems confronting agricultural, environmental, and resource economists.  Unlike most math
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