Application of Market Models to Network Equilibrium Problems

We present a general two-side market model with divisible commodities and price functions of participants. A general existence result on unbounded sets is obtained from its variational inequality re-formulation. We describe an extension of the network flow equilibrium problem with elastic demands and a new equilibrium type model for resource allocation problems in wireless communication networks, which appear to be particular cases of the general market model. This enables us to obtain new existence results for these models as some adjustments of that for the market model. Under certain additional conditions the general market model can be reduced to a decomposable optimization problem where the goal function is the sum of two functions and one of them is convex separable, whereas the feasible set is the corresponding Cartesian product. We discuss some versions of the partial linearization method, which can be applied to these network equilibrium problems.Comment: 18 pages, 3 table

On a network equilibrium problem with mixed demand

© Springer International Publishing Switzerland 2016.In the present paper, we formulate the network equilibrium problem with mixed demand containing the fixed and variable components. We present the equilibrium conditions and the conditions for existence of solution of this problem. In addition, we show that the network equilibrium problem with mixed demand generalizes the network equilibrium problems with fixed demand and elastic demand and establish the connection with the auction equilibrium problem. Preliminary computational experiments are also presented