EM_internal: Unconstrain the demand using the Expectation-Maximization algorithm
Description
EM_internal is the internal function called by EM .
Usage
EM_internal(demand = demand, eps = 0.005)
Arguments
demand
demand vector with constrained and unconstrained entries. A 0 in the name of an entry means that the corresponding demand is unconstrained. Conversely, a 1 in the name of an entry suggests that the corresponding demand is constrained.
eps
small number used as the stopping criterion. The default value is 0.005.
Value
param
parameters of demand distribution
niter
number of iterations
demand
unconstrained demand
history
convergence history
Details
EM_internal unconstrains demand data in quantity-based revenue management.
References
Talluri, K. T. and Van Ryzin, G. (2004) The Theory and Practice of Revenue Management. New York, NY: Springer Science + Business Media, Inc. (Pages 474-477).