bilevel linear optimization problem

On Local Search in Bilevel Mixed-Integer Linear Programming

  • Eneko C. Clemente
  • Oleg A. Prokopyev
    • Categories Bilevel Optimization, Game Theory, Other Topics Tags , ,

    Two-level hierarchical decision-making problems, where a leader’s choice influences a follower’s action, arise across key business and public-sector domains, from market design and pricing to defense. These problems are typically modeled as bilevel programs and are known to be notoriously hard to solve at scale. In single-level combinatorial optimization, especially for challenging instances, local search … Read more

    Pessimistic bilevel linear optimization

  • Stephan Dempe
  • Susanne Franke
  • Guimei Luo
    • Categories Nonsmooth Optimization Tags , , , ,

    In this paper, we investigate the pessimistic bilevel linear optimization problem (PBLOP). Based on the lower level optimal value function and duality, the PBLOP can be transformed to a single-level while nonconvex and nonsmooth optimization problem. By use of linear optimization duality, we obtain a tractable and equivalent transformation and propose algorithms for computing global … Read more