On the Downs-Thomson Paradox in a Self-Financing Two-Tier Queuing System

成果类型:
Article
署名作者:
Guo, Pengfei; Lindsey, Robin; Zhang, Zhe George
署名单位:
Hong Kong Polytechnic University; University of British Columbia; Western Washington University; Simon Fraser University
刊物名称:
M&SOM-MANUFACTURING & SERVICE OPERATIONS MANAGEMENT
ISSN/ISSBN:
1523-4614
DOI:
10.1287/msom.2014.0476
发表日期:
2014
页码:
315-322
关键词:
queuing system two-tier service system equilibrium arrival rates pricing and capacity decisions Downs-Thomson paradox
摘要:
We model a two-tier queuing system with free and toll service options as two parallel M/M/1 servers. We solve for the welfare-maximizing toll service capacity and toll subject to the constraint that the toll service cover its costs. If the free and toll services are both used in equilibrium, a larger free-service capacity implies longer expected waiting time for the free service and lower welfare: an analogue to the Downs-Thomson paradox in transportation economics. The paradox is caused by the presence of scale economies in the toll service combined with the requirement that it be self-financing.