| dc.description.abstract | Mathematical models are important as a means of predictions. This thesis set
out to develop a welfare measurement model. Welfare is concerned with
evaluation of alternative economic situations from the point of view of the
society's well-being. The measure of welfare is derived from people's .
demand for goods and services, that is, people are in a stable state when
their demand for goods and services is improved. The Lagrangean methods
(both ordinary and modified) of solving constrained optimisation problems
have been used in developing this model. Generalized objective and
constraint functions have been used in developing individual demand
.estimates from which, through lateral summation, group demand estimate is
achieved. Time factor has also been included in this model to activate
prediction. The model is of significance to the industrial sector because of its
rigour in estimating the market size, and thus lessening resource
misallocation. Also through the people's demand estimates, any government
may determine the welfare state of its people and thus make an appropriate
decision. The model derived in this thesis is in discrete form. Future
researchers may improve on this by attempting to model a demand equation
on a continuous time basis. | en_US |
