Wine in Your Knapsack?*

Jon M. Conrad, Miguel Gomez and Alberto J. Lamadrid

Journal of Wine Economics, 2011, vol. 6, issue 1, 83-110

Abstract: We pose several Knapsack Problems (KPs) to select the optimal subset of wines subject to budget and quantity constraints. The first problem seeks the subset of wines, from a single cultivar (zinfandel) that maximizes the sum of ratings subject to a budget constraint. We modify this problem by adding an equality constraint on the number of bottles that must be chosen. The third problem seeks to maximize the sum of ratings from three different cultivars (cabernet sauvignon, pinot noir, and zinfandel) subject to a budget constraint and then a budget and minimum bottle constraints for each cultivar. The rating maximization problem may have multiple solutions. We also pose two expenditure minimization problems, subject to achieving the maximum sum of ratings. We extend the model by defining an integer choice problem, that allows multiple purchases of the same wine, and by accounting for possible non-linearities between wine ratings and utilities. Applications of this model include procurement decisions for tastings, special events or building a personal wine cellar. (JEL Classification: C61 D12)

Date: 2011
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://www.cambridge.org/core/product/identifier/ ... type/journal_article link to article abstract page (text/html)

Related works:
Working Paper: Wine in Your Knapsack? (2010)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cup:jwecon:v:6:y:2011:i:01:p:83-110_00

Access Statistics for this article

More articles in Journal of Wine Economics from Cambridge University Press Cambridge University Press, UPH, Shaftesbury Road, Cambridge CB2 8BS UK.
Bibliographic data for series maintained by Kirk Stebbing ().