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When Formulating a Linear Programming Spreadsheet Model, There Is a Set

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When formulating a linear programming spreadsheet model, there is a set of designated cells that play the role of the decision variables. These are called the changing cells.


Definitions:

Socially Optimal

A condition or point at which the benefit to society is maximized, often considered in economic contexts to represent the most efficient allocation of resources.

Cost-Benefit Analysis

An estimate of the costs and benefits of providing a good. When governments use cost-benefit analysis, they estimate the social costs and social benefits of providing a public good.

Marginal Social Benefits

The additional benefit to society as a whole from producing or consuming one more unit of a good or service.

Common Resource

A resource like air or water that is not owned by anyone, but its use is shared among a community or the public, often leading to overuse or depletion.

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