A goal programming/constrained regression : economics of scale for the Korean nature gas industry

제약 회귀하의 목표계획법을 이용한 국내 천연가스 산업의 규모의 경제성 분석

We consider a problem of estimating the economics of scale for the natural gas industries. The goal programming/constrained regression is employed for estimating the economics of scale for the natural gas industry, and the problem is formulated as a linear programing problem. Also the translog cost function is used to represent the cost structure for the natural gas industry. The Korean Gas Corporation was selected as a case study, and we demonstrate that the suggested goal programming/constrained regression approach is appropriate for estimating the economies of scale for the Korean nature gas industry.