analysis of an inventory system with exponential partial backordering abstract in this paper we study an inventory model with partial backlogging where unsatisfied demand is partially backlogged according to an exponential function in this model the total cost is the sum of the order cost the holding cost the backorder cost which includes a fixed cost and a cost proportional to the length of time for which the backorder exists and the cost of lost sales a general approach for finding the optimal policy is developed numerical examples are used to illustrate how the approach works

are emissions permits regressive grandfathered emissions permits redistribute income to wealthy households by creating firm rents that ultimately accrue to shareholders consequently they can be highly regressive even if the poor do not have large budget shares for polluting goods using an analytical model this paper estimates the burden of emissions permits borne by different income groups under control of power plant emissions of carbon so2 and nox we also compare the burden borne by poor households under permits with that under emissions taxes performance standards technology mandates and input taxes and we show how the social costs of policies differ from efficiency costs when society has aversion to inequality

indexing government programs for changes in the cost of living this article presents social cost of living indexes constructed from an econometric model of aggregate consumer behavior the econometric price index has the same average inflation rate as a tornqvist price index over the period 1947 1995 but rises less rapidly after 1973 group cost of living indexes are presented for white and nonwhite male and female headed and elderly and nonelderly households elderly households have experienced a slightly higher rate of inflation than the nonelderly since 1980 we recommend indexing government programs such as social security by social and group cost of living indexes rather that the consumer price index

aggregate consumer behaviour and the measurement of inequality this paper presents an approach to inequality measurement based on an econometric model of aggregate consumer behaviour the novel feature of this model is that systems of individual demand functions can be recovered uniquely from the system of aggregate demand functions we present methods for evaluating social welfare based on an explicit social welfare function this social welfare function incorporates measures of individual welfare based on indirect utility functions for all consumer units we develop indexes of inequality based on actual and potential levels of social welfare

deteriorating inventory model with quantity discount pricing and partial backordering inventory models with quantity discount pricing and partial backordering although common in practice have received very little attention from researchers the objective of this study is to develop a deterministic inventory model with quantity discount pricing and partial backordering when the product in stock deteriorates with time most retailers make pricing decisions of their products at certain times of the year and these decisions affect demand in this study the demand rate is assumed to decrease as price for the product increases unlike traditional inventory models that seek to minimize cost the objective of this study is to maximize profit the findings of this study are particularly relevant to retailers of deteriorating products in a competitive environment a numerical example is given to illustrate the theory

consumer expenditures and inequality an analysis based on decomposition inequality in u s consumption expenditures is examined using the lerman and yitzhaki covariance method for decomposing the gini coefficient by factors from the decomposition nonparametric estimates of elasticities with respect to total expenditures are derived using data from the 1987 u s consumer expenditure interview survey the overall gini based on total annual consumption expenditures is 0 33 consistent with parametric expenditure elasticities the gini expenditure elasticities for household operations apparel and services and entertainment are relatively high an implication of this result is that taxing such goods and services will increase the progressivity or reduce the regressivity of the tax system copyright 1993 by mit press

the social cost of living index abstract household cost of living indexes reflect household preferences analogous indexes for groups of households require a corresponding concept of group preferences in this paper i investigate the social cost of living index a group index based on the bergson samuelson social welfare function i first define the index and examine its properties under the assumption that the investigator constructing it expresses his distributional judgments in an explicit bergson samuelson social welfare function i then examine the maximizing society and the independent society two cases in which the index can be constructed from the information contained in the market demand functions in these two cases a laspeyres index i e the fixed weight index based on the reference consumption pattern is an upper bound on the exact social cost of living index in general however the assumptions required to place bounds on the social cost of living index are much more likely to be satisfied than those required to place analogous bounds on a household s cost of living index

optimal stopping and restarting production times for an eoq model with deteriorating items and time dependent partial backlogging abstract yan and cheng j operational res soc 49 1998 1288 1295 presented a general production inventory model with production rate product demand rate and deterioration rate all considered as functions of the time their model allows for shortages and partial backlogging of the unsatisfied demand at a constant rate in this paper we extend the results of yan and cheng to cover the case where the backlogging rate is a time dependent function and we propose an algorithm for the solution of this problem we also propose some conditions which we believe to be necessary for the validity for some of yan s and cheng s statements the paper closes with numerical examples which cover each one of the cases considered in the paper

consumption needs and inequality most empirical studies demonstrating a u turn in inequality in the united states are based on the distribution of income however utility is derived from the consumption of goods and services and there are many reasons to expect the distribution of expenditure to be different from the distribution of income the author demonstrates that consumption based inequality indexes actually decrease over the postwar era this conclusion differs from the stylized facts because of differences in the income and expenditure distributions differences also arise from the inclusion of equivalence scales to account for the different needs of heterogeneous households copyright 1994 by economics department of the university of pennsylvania and the osaka university institute of social and economic research association

the production inventory problem of a product with time varying demand production and deterioration rates abstract in this paper we consider the production inventory problem in which the demand production and deterioration rates of a product are assumed to vary with time shortages of a cycle are allowed to be backlogged partially two models are developed for the problem by employing different modeling approaches over an infinite planning horizon solution procedures are derived for determining the optimal replenishment policies a procedure to find the near optimal operating policy of the problem over a finite time horizon is also suggested

does participation in the conservation reserve program impact the economic well being of farm households this study uses u s farm household survey data to examine how participation in the conservation reserve program crp affects farm household economic well being further the study also examines the effects of crp participation on farm household consumption income and imputed savings in contrast to previous studies that assume the relationships are homogenous across the population quantile regression is used to investigate the association between crp participation across the entire distribution of farm household consumption and income empirical findings suggest that the effect of crp participation on household economic well being differs across the income and consumption distribution for households in the lower percentiles of the distribution the crp participation is associated with an increase in household consumption but a decrease in farm household income and savings in contrast farm households at the median and higher income and consumption quantiles participation in crp is associated with lower levels of household consumption and income but with higher levels of savings

consumption technology and the intrafamily distribution of resources adult equivalence scales reexamined adult equivalence scales are supposed to measure differences in the needs of households of different demographic composition formally they purport to measure the change in the cost of attaining a certain welfare level when the family composition varies this paper shows that the definition and the measurement of these scales depend crucially on the concept of welfare used when welfare is the utility parents derive from their own consumption one has to assume separability of parents and children s consumption this assumption implies that the only way of imputing the intrafamily allocation of resources is by observing the consumption patterns of adult goods regardless of the definition used one cannot separate the factors reflecting home technology i e needs from those determining the intrafamily distribution rule i e wants out of consumption data

an inventory model with deteriorating items quantity discount pricing and time dependent partial backlogging abstract wee international journal of production economics 59 1999 511 in his interesting paper presented a deterministic inventory model with the following characteristics quantity discount schemes for the unit cost partial backlogging at a fixed rate deterioration of stock in time and demand rate being a linear function of the selling price in this article we generalize the work of wee 1999 more specifically we consider a model where the demand rate is a convex decreasing function of the selling price and the backlogging rate is a time dependent function which ensures that the rate of backlogged demand increases as the waiting time to the following replenishment point decreases

the impact of the changing us family structure on child poverty and income inequality this paper analyses links between rising income inequality child poverty and one parent families in the united states from 1971 to 1989 one test reallocated weights so that 1989 proportions of children by mothers marital status resembled the 1971 distribution a second method used 1 simulated marriages among unmarried men and unmarried mothers in 1989 to reproduce 1971 marital patterns and 2 earnings responses induced by the simulated marriages the results indicate that the trend away from marriage accounted for almost half the increase in child income inequality and more than the entire rise in child poverty rates excerpt

household equivalence scales and welfare comparisons abstract the ratio of cost functions of different households facing the same prices and attaining the same utility level is a true cost of demographic characteristics index this index is independent of a base level of income or utility ib if and only if it equals a ratio of household equivalence scales that are themselves ib applied cost index and equivalence scales specifications are usually ib this paper describes the general restrictions on cost functions and social welfare functions required for ib scales and for their use in welfare analysis

the retirement consumption conundrum evidence from a consumption survey abstract recent studies have shown that food consumption declines at retirement we use broader definitions of consumption from the consumer expenditure survey and find that the so called retirement consumption puzzle is solved by using comprehensive consumption data

consumption inequality between farm and nonfarm households in taiwan a decomposition analysis of differences in distribution consumption has been recognized as a more reliable indicator of household well being than income although a considerable body of literature has examined income inequality between farm and nonfarm households little is known about inequality in consumption this research aims to fill this knowledge gap by investigating consumption disparity between farm and nonfarm households using a nationally representative household survey from taiwan we apply an unconditional quantile regression based decomposition method to decompose the differences in the distribution of household expenditure between these farm and nonfarm households the results indicate that differences in the observed characteristics between these two types of households explain most of the consumption inequality moreover the difference in the education level of the farm operator household income and the degree of urbanization are particularly important jel classifications q10 q12

measurement of inequality by components of farm household consumption expenditures inequality in consumption levels of families both nationally and internationally has been studied by theil however empirical studies that measure inequality in farm household consumption to our knowledge have not been performed this study measures inequality in farm household consumption in addition the study also measures inequality in consumption based on farm typology and farming region results from this analysis show consumption inequality among farm households is lower than consumption inequality among all other households results indicate that other expenditures component has the highest inequality and food and household supplies component has the lowest inequality further farm typology has information about difference in consumption expenditures the typology is informative when it comes to the components of consumption while the regional decomposition is not

children and household economic behavior this paper looks at some of the methodological issues that arise in modeling the effects of children on household behavior and presents some estimates for selected areas for our purposes household behavior will be taken to refer to household decisions on labor supply the allocation of expenditure to different periods and the decision as to what to do with the difference between income and expenditure i shall be concerned mainly with the effects of dependent children and i restrict attention largely to western societies excerpt

aggregate poverty measures the way poverty is measured is important for an understanding of what has happened to poverty as well as for anti poverty policy evaluation sen s 1976 pathfinding work has motivated many researchers to focus on the way poverty should be measured a poverty measure argued by sen should satisfy certain properties or axioms and the desirability of a poverty measure should be evaluated by these axioms during the last two decades many researchers have adopted the axiomatic approach pioneered by sen to propose additional axioms and develop alternative poverty measures the objective of this survey is to provide a clarification on the extensive literature of aggregate poverty measures in this survey we first examine the desirability of each axiom the properties of each poverty measure and the interrelationships among axioms the desirability of an axiom cannot be evaluated in isolation and some combination of axioms may make it impossible to devise a satisfactory poverty measure some axioms can be implied by other axioms combined and so are not independent some others are ad hoc and are disqualified as axioms for poverty measurement based on the interactions among axioms we identify the core axioms which together have a strong implication on the functional form of a poverty measure we then review poverty measures that have appeared in the literature evaluating the interrelationships among different measures and examining the properties of each measure the axioms each measure satisfies violates are also summarized in a tabular form several good poverty measures which have not been documented by previous surveys are also included

gaining ground poverty in the postwar united states official measures of poverty in the united states are compiled by the bureau of the census by comparing a household s income level to a prespecified threshold from a theoretical perspective it is more appropriate to evaluate the level of poverty using a consumption based measure of household welfare in this paper i evaluate the level of poverty using expenditure data from the consumer expenditure survey i find that consumption based poverty rates are much lower than those based on income the trend in the poverty rate in the united states is sensitive to the price index and equivalence scales used to adjust the poverty thresholds

did we lose the war on poverty was the war on poverty a failure or a success official u s poverty statistics based on household income imply that the war on poverty ended in failure according to the bureau of the census the proportion of the u s population below the poverty level of income reached a minimum of 11 1 percent in 1973 this ratio rebounded to 15 2 percent in 1983 and has fluctuated within a narrow range since then giving rise to the widespread impression that the elimination of poverty is difficult or even impossible 1 however poverty estimates based on household consumption imply that the war on poverty was a success jorgenson and slesnick 1989 showed that the proportion of the u s population below the poverty level of consumption fell to 10 9 percent in 1973 only slightly below the poverty incidence as measured by income in that year the poverty ratio for consumption declined further reaching 6 8 percent in 1983 slesnick 1993 presents estimates of poverty ratios incorporating consumption data from the consumer expenditure survey conducted by the bureau of labor statistics the poverty rate for consumption fell to 9 7 percent in 1973 and reached a low of 8 7 percent in 1978 before rising to 12 0 percent in 1980 the consumptionbased poverty rate then declined to a new low of 8 3 percent in 1986 ending at 8 4 percent in 1989 calibrating consumption to levels reported in the u s national income and product accounts slesnick obtained a poverty rate of 4 1 percent in 1978 and a postwar low in 1989 of only 2 2 percent 2 1 the persistence of poverty as reflected in the official statistics is discussed by sawhill 1988 2 slesnick 1993 presented a detailed decomposition of the differences between estimates of poverty rates based on consumption and the official estimates based on income neither measures of consumption from the consumer expenditure survey nor measures of income used by the bureau of the census include in kind transfers slesnick 1996 discussed the effects of these transfers on measures of poverty

structural modernization and development traps an empirical approach in this paper we analyse economic development through the lenses of a newly developed index the structural modernization index this index combines two dimensions that have been widely invoked as prime drivers of economic development namely structural change and technological catch up for each country the index calculates the productivity gap with respect to the world frontier in activities that typically represent the modern part of the economy and weighs this relative productivity by the employment share of those activities in the total labour force in doing so it combines a technological dimension relative productivity and a structural dimension the size of the modern sector thus providing a concise measure of the degree of modernity of an economy the index is calculated for a large sample of countries over a long time span significant efforts have been made to put together a dataset with international comparable data on value added and employment disaggregated by sectors for 100 countries covering the period 1950 2009 the estimates are used to explore the relationship between structural modernization and the so called poverty and middle income traps in analysing this relationship the interactive nature of structural change and technological catch up is stressed important insights are obtained regarding the nature of low and middle income development traps finally the usefulness of this new index is illustrated when studying the diverse structural trajectories of a set of countries that can be taken as examples of success and failure in the process of economic development