Investments in Labor Productivity: Single Period Model

Anna Nagurney
Additional contact information
Anna Nagurney: University of Massachusetts

Chapter Chapter 7 in Labor and Supply Chain Networks, 2022, pp 149-179 from Springer

Abstract: Abstract Shortages of labor continue even now as economies begin to open up with progress on vaccinations. Investing in labor productivity is a possible mechanism in moderating shortfalls in labor. In this chapter, a supply chain network optimization model is constructed, whose solution yields optimal product path flows to demand markets, the optimal investments in link labor productivity, as well as labor hours needed, and the optimal wages of the workers in production, transportation, storage, and distribution. The model includes a budget constraint on the investments, along with maximum bounds on investments on the supply chain network links. The theoretical framework, which includes Lagrange analysis, and the computational approach are based on the theory of variational inequalities. Managerial insights are provided obtained via the Lagrange analysis and a series of numerical examples, which demonstrate that such investments can help both the firm and the consumers.

Date: 2022
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
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:spr:spochp:978-3-031-20855-3_7

Ordering information: This item can be ordered from
http://www.springer.com/9783031208553

DOI: 10.1007/978-3-031-20855-3_7

Access Statistics for this chapter

More chapters in Springer Optimization and Its Applications from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().