Group decision theory and production planning problems

Abstract

In the present work it is argued that a group decision problem can be viewed as a problem in output choice of a regulated firm and conversely. Having developed the above isomorphism, we turn to a related problem: that of characterizing solutions to production planning problems which are non-decreasing in the cost constraint. Such solutions are called monotone solutions. We establish in this paper that monotone solutions to production planning problems are essentially continuous functions of the cost constraint.