Modeling Market Penetration with Emphasis on the DFI Energy-Economy System

摘要

This paper provides a general overview and review of market penetration, the gradual substitution over time of a new commodity for one or more existing commodities in satisfying basic consumption or production needs. The paper then describes, in detail, the market penetration representations of the Decision Focus, Inc. (DFI) modeling system in terms of: (i) its relation to existing representations in the literature; (ii) issues of stability and sensitivity; (iii) issues of parameter measurability; and (iv) its relation to probabilistic interpretations of consumer behavior. (ERA citation 04:050152)