A new analysis of a lot-size model with partial backlogging

We reformulate the cost equation for the lot-size model with partial back-logging. The formulation is in terms of “fictitious demand rate,” a new inventory decision variable that simplifies the analysis. Using decomposition by projection, we obtain an optimal solution in a straightforward manner. The form of the solution sheds additional light on the behavior of the model. Some of these insights are elucidated by numerical examples.     

On the Determinants of Terrorism Risk Concern in Europe

We investigate whether differences in terrorism risk are mirrored on terrorism risk perception across European countries for the period 2003–2007. We find that the average propensity for terrorism risk concern is affected by actual risk levels. Country and individual heterogeneity contribute substantially to the variation of observed risk perception. Singles and individuals with white collar jobs are less likely to mention terrorism as one of the most pressing issues their country faces, while political positioning towards the right makes it more likely to be concerned about terrorism. As far as competing risks are concerned, we find that the likelihood terrorism is mentioned, decreases with spending on pensions as a percentage of GDP being higher. Finally, based on the Bayesian framework, we also examined the formation of terrorism risk perceptions, and decompose the observed country-level time series of terrorism activity into a long- and a short-run component. We concluded that the observed risk perception variation is only explained by the long-term trend of terrorism activity countries face.     

Arrival and departure state distributions in the general bulk‐service queue

In this paper, we give an explicit relation between steady‐state probability distributions of the buffer occupancy at customer entrance and departure epochs, for the classical single‐server system G/G^[N]/1 with batch services and for the finite capacity case. The method relies on level‐crossing arguments. For the particular case of Poisson input, we also express the loss probability in terms of state probabilities at departure epochs, yielding probabilities observed by arriving customers. This work provides the “bulk queue” version of a result established by Burke, who stated the equality between probabilities at arrival and departure epochs for systems with “unit jumps.” © 1999 John Wiley & Sons, Inc. Naval Research Logistics 46: 107–118, 1999     

The Naval Intelligence Underpinnings of Reagan's Maritime Strategy

Washington's so-called Maritime Strategy, which sought to apply US naval might against Soviet vulnerabilities on its maritime flanks, came to full fruition during the 1980s. The strategy, which witnessed a major buildup of US naval forces and aggressive exercising in seas proximate to the USSR, also explicitly targeted Moscow”s strategic missile submarines with the aim of pressuring the Kremlin during crises or the early phases of global war. Relying on a variety of interviews and newly declassified documents, the authors assert that the Maritime Strategy represents one of the rare instances in history when intelligence helped lead a nation to completely revise its concept of military operations.     

Progress payments and cost overruns in defence contracts

In recent years military procurement agencies have used “progress payments” in contracting. Although, overall, the adoption of such a policy may well have contributed to a decrease in total costs of procurement, we identify a class of inefficiencies that are likely to have been generated by it.     

The Organization of the Defense Support System: An Economic Geography Perspective

In the context of restricted budgetary resources and the growing cost of maintenance, repair, and overhaul (MRO) activities, a major issue for modern armed forces is to sustain defense platforms. A possible method consists of realizing economies of scale through the concentration of maintenance activities, which involves the spatial reorganization of existing industrial sites dedicated to MRO. This article provides a formalized framework to discuss the optimal organization for the MRO of defense platforms in space. The public planner organizes the maintenance of defense platforms with only two possible spatial configurations. In the dispersed configuration, two industrial production units in charge of the maintenance optimally cover space, whereas in the concentrated configuration, a unique industrial unit covers space. Focusing on the tipping point between the two configurations, the balance of forces between agglomeration and dispersion in defense support activities is described and discussed. On the one hand, economies of scale provide an opportunity to optimize defense support costs, favoring concentration in a unique industrial unit. On the other hand, space causes dispersion to reduce both transport costs and operational social costs. This trade-off illustrates a general principle in spatial economics with an application to MRO production in the French case.