On the lexicographic minimax approach to location problems

On the lexicographic minimax approach to location problems

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Article ID: iaor19991606
Country: Netherlands
Volume: 100
Issue: 3
Start Page Number: 566
End Page Number: 585
Publication Date: Aug 1997
Journal: European Journal of Operational Research
Authors:
Abstract:

When locating public facilitites, the distribution of travel distances among the service recipients is an important issue. It is usually tackled with the minimax (center) solution concept. The minimax solution concept, despite being the most commonly used in the public sector location models, is criticized as it does not comply with the major principles of the efficiency and equity modeling. In this paper we develop a concept of the lexicographic minimax solution (lexicographic center) being a refinement of the standard minimax approach to location problems. We show that the lexicographic minimax approach complies with both the Pareto-optimality (efficiency) principle (crucial in multiple criteria optimization) and the principle of transfers (essential for equity measures) whereas the standard minimax approach may violate both these principles. Computational algorithms are developed for the lexicographic minimax solution of discrete location problems.

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