Dmitri Pisarenko
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 Sep24 awarded Autobiographer Nov6 awarded Benefactor Oct30 awarded Promoter Oct28 asked Alternatives to Monte-Carlo simulation Apr7 awarded Supporter Jan2 awarded Scholar Jan2 accepted Maximum feasible output of a company Jan1 comment Maximum feasible output of a company Thanks. Please write your statement as an answer so that I can accept it. Jan1 comment Maximum feasible output of a company @copper.hat Yes. Sorry for a dumb question, but how did you derive this formula ($5*min(A, 4B)$) ? I want to understand it and extend to a case with more than 2 inputs. Jan1 comment Maximum feasible output of a company @copper.hat See my update 1. The problem is that the company doesn't know in advance, how many resources it will buy. In step 1 (last paragraph of Update 1), the company decides on the quantity of final product it intends to produce. Then, it goes to the market (together with other buyers and sellers) and buys a certain amount of each resource. The company doesn't know in step 1 how much of every input it will buy in step 2. Finally, in step 3 it has so many of each input and now needs to produce a quantity of final output, which conforms to the constraints (0.2 of input A and 0.8 of input B). Jan1 awarded Editor Jan1 revised Maximum feasible output of a company Added update 1. Jan1 asked Maximum feasible output of a company Jan26 awarded Student Jan26 asked Democratic central planning model