ABSTRACT
Economics was defined by Lionel Robbins as the science of studying the allocation of scarce economic resources among competing ends, that is, economics is concerened with making choices and decisions. Similarly, linear programming is a mathematical theory by which the available economic resources can be allocated efficiently for achieving a certain goal. Linear programming was developed independently by Leonid Kantorovich and T. C. Koopmans; both shared the Nobel prize in economics in 1975 for developing this mathematical model. Kantorovich was able to find a mathematical model by which the available economic resources in the Soviet Union could be allocated efficiently. Kantorovich, however, was not able to develop an algorithm by which a linear mathematical program can be solved.
