• Proceedings of the KIEE Conference
• /
• 2009.07a
• /
• pp.541_542
• /
• 2009

This paper reviews the definition and background of dynamic pricing which is the essential element of demand response system. Also, economic efficiency and related issues on dynamic pricing are studied. Several issues on design and operation of demand response system, which can implement the dynamic pricing, are described. Therefore the results will be helpful for developing the demand response system with dynamic pricing.

• The Journal of Fisheries Business Administration
• /
• v.41 no.2
• /
• pp.107-133
• /
• 2010

As policy makers are often concerned about dynamic effects of demand behavior and its welfare analysis by quantity changes, the paper shows how dynamic price formation systems can be built up to analyze the effect of policy options to the markets dynamically. The paper develops dynamic model of price formation for fish from the intertemporal optimization of the consumer choice problem. While the resulting model has a similar form of the error correction types of dynamic price formation system, it provides the rational demand behavior contrary to the myopic behavior of error correction demand models. The paper also develops appropriate tools of dynamic welfare analysis in quantity space using only short-run demand estimates both theoretically and empirically as a first attempt in the literature of price formation and fisheries. The empirical results of Korean fish markets show that the dynamic model and the welfare measures are reasonably plausible. The methodology and theory of this research can be applied and extended to the commodity aggregation, dynamic demand estimation, and dynamic welfare effects of regulation in the similar framework. Thus, it is hoped that this will enhance its applications to the demand-side economics.

• Journal of Korean Institute of Industrial Engineers
• /
• v.31 no.3
• /
• pp.194-200
• /
• 2005

A stochastic dynamic lot sizing problem for multi-item is suggested in the case that the distribution of the cumulative demand is known over finite planning horizons and all unsatisfied demand is fully backlogged. Each item is produced simultaneously at a variable ratio of input resources employed whenever setup is incurred. A dynamic programming algorithm is proposed to find the optimal production policy, which resembles the Wagner-Whitin algorithm for the deterministic case problem but with some additional feasibility constraints.

• Journal of Korean Society of Water and Wastewater
• /
• v.21 no.1
• /
• pp.75-82
• /
• 2007

When one forecasts urban water demand in a long-term, multivariate model can give more benefits than per capita requirement model. However, the former has shortcomings in that statistically high explanatory power cannot be obtained well, and change in customer behavior cannot be considered. If the past water consumption effects the future water demand, dynamic model may describe real water consumption data better than static model, i.e. the existing multivariate model. On these grounds, this study built dynamic model using system dynamics. From a case study in Seoul and Busan city, dynamic model was expected to forecast water demand more descriptively and reliably.

• Environmental and Resource Economics Review
• /
• v.9 no.2
• /
• pp.333-347
• /
• 2000

We employed various econometic methods to estimate the production index elasticity and the price elasticity of elecricity demand in Korea and compared the forecasting power of those methods. Cointegration models (ADL model, Engle-Granger model, Full Informtion Maximum Likelihood method by Johansen and Juselius) and Dynamic OLS by Stock and Watson were considered. The forecasting power test shows that Dynamic OLS has the best forecasting power. According to Dynamic OLS, the production index elasticity and the price elasticity of electricity demand in Korea are 0.13 and -0.40, respectively.

• East Asian Economic Review
• /
• v.25 no.3
• /
• pp.310-336
• /
• 2021

We use iterative numerical procedures combined with analytical methods due to Rapach and Wohar (2009) to solve for the dynamic asset allocation strategy for optimal portfolio demand. We compare different optimal portfolio demands when investors in each country have different access to overseas and domestic investment opportunities. The optimal dynamic asset allocation strategy without foreign investment opportunities leads domestic investors in Korea, Hong Kong, and Singapore to allocate more funds to domestic bonds than to domestic stocks. However, the U.S. investors allocate more wealth to domestic stocks than to domestic bonds. Investors in all countries short bills at a low level of risk aversion. Next, we investigate dynamic asset allocation strategy when domestic investors in Korea have access to foreign markets. The optimal portfolio demand leads investors in Korea to allocate most resources to domestic bonds and foreign stocks. On the other hand, the portfolio weights on foreign bonds and domestic stocks are relatively low. We also analyze dynamic asset allocation strategy for the investors in the U.S., Hong Kong, and Singapore when they have access to the Korean markets as overseas investment opportunities. Compared to the results when the investors only have access to domestic markets, the investors in the U.S. and Singapore increase the portfolio weights on domestic stocks in spite of the overseas investment opportunities in the Korean markets. The investors in the U.S., Hong Kong, and Singapore short domestic bills to invest more than initial funds in risky assets with a varying degree of relative risk aversion coefficients without exception.

• Journal of Korean Institute of Industrial Engineers
• /
• v.14 no.1
• /
• pp.103-117
• /
• 1988

Replacement demand plays an important role to forecast the total demand of durable goods, while most of the diffusion models deal with only adoption data, namely initial purchase demand. This paper presents replacement demand forecasting models incorporating repurchase rate, multi-ownership, and dynamic product life to complement the existing diffusion models. The performance of replacement demand forecasting models are analyzed and practical guidelines for the application of the models are suggested when life distribution data or adoption data are not available.

• Journal of Electrical Engineering and Technology
• /
• v.10 no.1
• /
• pp.64-74
• /
• 2015

Because of the burgeoning demand of the energy, the countries are finding sustainable solutions for these emerging challenges. Demand Side Management is playing a significant role in managing the demand with an aim to support the electrical grid during the peak hours. However, advancement in controls and communication technologies, the aggregators are appearing as a third party entity in implementing demand response program. In this paper, a detailed mathematical framework is discussed in which the aggregator acts as an energy service provider between the utility and the consumers, and facilitate the consumers to actively participate in demand side management by introducing the new concept of demand reduction bidding (DRB) under constrained direct load control. Paper also presented an algorithm for the proposed framework and demonstrated the efficacy of the algorithm by considering few case studies and concluded with simulation results and discussions.

• Journal of Korean Institute of Industrial Engineers
• /
• v.40 no.4
• /
• pp.435-441
• /
• 2014

This paper considers a single-product problem for inbound lot-sizing and outbound dispatching at a third-party warehouse, where the demand is dynamic over the discrete time horizon. Each demand must be delivered into the corresponding delivery time window which is the time interval characterized by the earliest and latest delivery dates of the demand. Ordered products are shipped by heterogeneous container types. Each container type has type-dependent carrying capacity and the unit freight cost depends on each container type. Total freight cost is proportional to the number of each container type used. Also it is assumed that related cost functions are concave and backlogging is not allowed. The objective of the paper is to simultaneously determine the optimal inbound lot-sizing and outbound dispatching plans that minimize total costs which include ordering, shipping, and inventory holding costs. The optimal solution properties are characterized for the problem and then a dynamic programming algorithm is presented to find the optimal solution.

• KSII Transactions on Internet and Information Systems (TIIS)
• /
• v.4 no.4
• /
• pp.491-508
• /
• 2010

In peer-to-peer (P2P) on-demand streaming networks, the alleviation of server load depends on reciprocal stream sharing among peers. In general, on-demand video services enable clients to watch videos from beginning to end. As long as clients are able to buffer the initial part of the video they are watching, on-demand service can provide access to the video to the next clients who request to watch it. Therefore, the key challenge is how to keep the initial part of a video in a peer's buffer for as long as possible, and thus maximize the availability of a video for stream relay. In addition, to address the issues of delivering data on lossy network and providing scalable quality of services for clients, the adoption of multiple description coding (MDC) has been proven as a feasible resolution by much research work. In this paper, we propose a novel caching scheme for P2P on-demand streaming, called Dynamic Buffering. The proposed Dynamic Buffering relies on the feature of MDC to gradually reduce the number of cached descriptions held in a client's buffers, once the buffer is full. Preserving as many initial parts of descriptions in the buffer as possible, instead of losing them all at one time, effectively extends peers’ service time. In addition, this study proposes a description distribution balancing scheme to further improve the use of resources. Simulation experiments show that Dynamic Buffering can make efficient use of cache space, reduce server bandwidth consumption, and increase the number of peers being served.