Sunday, January 28, 2018

Price elasticity

In basket brigade, the price of something is determined by the interest charge needed to maintain a consistent inventory.  Interest charges, in the S&L, become the amount of of the conserved index space ued by one item relative to a other.  Se really do not know pric until the S&L pit boss settles account and applies charges.

Rather work with price elasticity, work with bin size,  The more items you purchase of a thing in a given transaction. The more thing you purchase per transaction, the less transaction  space you take, but you have higher interest charges, relative to smaller bin sizes.

This  formulation gets us back to structured queues.

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