Simultaneous equation
Posted: Mon Nov 16, 2009 11:56 am
Dear members, hello:
I was taking system dynamics course where I got assignment. And I have some difficulties in it. Actually i am new in vensim, so I will be grateful if you can help me with your advices to avoid the error I am getting in my model and your comments.
I am modeling the general flow of manufacturing processes of some good (long-run). First, manfacturer decides how much to produce after measuring demand for it (it should within the budget - i am getting error here). Then by applying necessary amount of raw materials, labor and equipment (depending on the costs of labor and equipment the manufacturer may reduce for ex. number of equipment and hire more labor). My aim is to show how profit margin of manufacturer will change if to change demand, costs and so on.
I've attached what I tried to do. I didn't add stock and flows - because the values may change to negative also
Thank you very much in advance.
I was taking system dynamics course where I got assignment. And I have some difficulties in it. Actually i am new in vensim, so I will be grateful if you can help me with your advices to avoid the error I am getting in my model and your comments.
I am modeling the general flow of manufacturing processes of some good (long-run). First, manfacturer decides how much to produce after measuring demand for it (it should within the budget - i am getting error here). Then by applying necessary amount of raw materials, labor and equipment (depending on the costs of labor and equipment the manufacturer may reduce for ex. number of equipment and hire more labor). My aim is to show how profit margin of manufacturer will change if to change demand, costs and so on.
I've attached what I tried to do. I didn't add stock and flows - because the values may change to negative also
Thank you very much in advance.