Agent-based double auction algorithm for global supply chain system

The market mechanism based on a general equilibrium theory in economics solves distributed resource allocation problems by allocating the scheduled resources according to market prices. We propose an agent-based double auction algorithm and demonstrate the applicability of economic analysis to this framework. The product allocation problem in a supply chain is dealt with in detail, as a case study to validate our idea. The proposed algorithm is proved to emerge sophisticated product flows in a supply chain and conduct a Pareto optimal solution on multi-objective problems.