We study a basic continuous-time single-item inventory model where demands form a compound Poisson process and leadtimes are stochastic. The performance measure of interest is the long-run average cost. Order costs are linear, so a base-stock policy is optimal. We focus on the behavior of the...

Various research areas face the methodological problems presented by nonnegative integer count data drawn from heterogeneous populations. We present a disaggregate negative binomial regression procedure for analysis of count data observed for a heterogeneous sample of cross-sections, possibly...

This paper has two purposes. The first is purely expository: to introduce stochastic interest-rate models and security-evaluation methods in a simple mathematical setting. Specifically, we assume the uncertainties in the model are represented by a discrete-time, finite-state Markov chain....

This article presents an algebraic approach to formulating and solving large models for sequential decisions under uncertainty. With this approach, decision analysis optimization methods can be applied to complex decision problems which are generally analyzed in management science practice using...

Consumers are different in their purchase rates and it is important to determine this heterogeneity. If a consumer's purchases follow a Poisson process (hence exponential interpurchase time), and purchase rates are distributed gamma across consumers, then a simple measure of heterogeneity is the...