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SOLUTION OF A WATER RESOURCES PROBLEM WITH ECONOMIES OF SCALE BY LINEAR PROGRAMMING1
Authors:Dan Salcedo  Arden O Weiss
Abstract:ABSTRACT Both because of its effectiveness and ease in use, linear programming has become progressively popular in water resources planning problems. Yet, the assumptions of linear construction costs can be misleading. Diseconomies of scale in construction can be handled by successive approximations to the cost function but problems with economies of scale yield paradoxical results when piecewise approximations are used. If significant economies of scale exist in only one facility, the solution to problems of this nature can be found using normal linear programming codes by successively adjusting the unit construction cost on that single facility to iteratively work toward the true optimal solution.
Keywords:KEY TERMS  economies of scale  linear programming
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