Economic Optimization & Resource Value

← Back to Domain-Specific Families

Abstractions about market equilibrium, competitive pricing, inventory quantity, compensated demand, ecosystem services, and energy-process optimization.

6 abstractions in this family — domain-specific abstractions that sit near one another in structural-signature space (k-means over structural-signature embeddings). Each is shown with its short description.

• Bertrand competition — A strategic market model in which firms choose prices while buyers select quantities at the offered prices.
• Competitive Equilibrium — A price vector and feasible allocation at which consumers and firms optimize given prices and every market clears simultaneously.
• Economic Order Quantity — Find the replenishment batch size minimizing total cost by summing a per-event ordering cost that falls with batch size and a per-unit-time holding cost that rises with it, giving a U-shaped curve whose flat-bottomed optimum is √(2DK/h).
• Ecosystem Services — The ecological-economics framework that disaggregates the diffuse good a natural system does into four non-fungible categories of benefit flow, each with a beneficiary and a proxy value, so an off-ledger bundle enters land-use decisions and single-service optimization is exposed as a trade-off.
• Hicksian demand function — A compensated demand function giving expenditure-minimizing quantities at prices while holding utility fixed.
• Pinch analysis — A thermodynamic design methodology that sets minimum hot and cold utility targets and restructures heat recovery around a pinch temperature constraint.