.BusinessSimulation.MoleculesOfStructure.Blocks.ExperienceCurve .BusinessSimulation.MoleculesOfStructure.Blocks.ExperienceCurveThis information is part of the Business Simulation Library (BSL). Please support this work and ► donate.
The output y describes the input that is needed to produce one unit. The experience curve describes the often observed empirical trend, that with every doubling in cumulated production, the effort or cost needed per unit (e.g., unit cost) will shrink by a constant percentage (learningRate), see Louwen and Subtil Lacerda [27] for an introduction.
The output y is obtained by the following formula:
hasCumulatedInput = true the input u is assumed to be the cumulated value of production (N) and the initial production (N_0) is initialized with the initial value of u (unless u < 1, in which case the initial production is initialized to 1).hasCumulatedInput = false the input u is assumed to be the current rate of production which will be accumulated starting with N_0 = 1.costLimit) can be given. It will be either a floor (learningRate >= 0) or a ceiling (learningRate < 0).