<?xml version="1.0" encoding="UTF-8"?><!DOCTYPE article  PUBLIC "-//NLM//DTD Journal Publishing DTD v3.0 20080202//EN" "http://dtd.nlm.nih.gov/publishing/3.0/journalpublishing3.dtd"><article xmlns:mml="http://www.w3.org/1998/Math/MathML" xmlns:xlink="http://www.w3.org/1999/xlink" dtd-version="3.0" xml:lang="en" article-type="research article"><front><journal-meta><journal-id journal-id-type="publisher-id">TEL</journal-id><journal-title-group><journal-title>Theoretical Economics Letters</journal-title></journal-title-group><issn pub-type="epub">2162-2078</issn><publisher><publisher-name>Scientific Research Publishing</publisher-name></publisher></journal-meta><article-meta><article-id pub-id-type="doi">10.4236/tel.2022.123042</article-id><article-id pub-id-type="publisher-id">TEL-117816</article-id><article-categories><subj-group subj-group-type="heading"><subject>Articles</subject></subj-group><subj-group subj-group-type="Discipline-v2"><subject>Business&amp;Economics</subject></subj-group></article-categories><title-group><article-title>
 
 
  Virtual GDP Engine: The Loop-Conveyor Problem in Sustainable Economics, and a Method for Formalizing Carnot-Like Dynamism and Win-Win &amp; Sharing
 
</article-title></title-group><contrib-group><contrib contrib-type="author" xlink:type="simple"><name name-style="western"><surname>Masayuki</surname><given-names>Matsui</given-names></name><xref ref-type="aff" rid="aff1"><sub>1</sub></xref></contrib></contrib-group><aff id="aff1"><label>1</label><addr-line>The University of Electro-Communications, Tokyo, Japan</addr-line></aff><pub-date pub-type="epub"><day>07</day><month>06</month><year>2022</year></pub-date><volume>12</volume><issue>03</issue><fpage>761</fpage><lpage>769</lpage><history><date date-type="received"><day>12,</day>	<month>April</month>	<year>2022</year></date><date date-type="rev-recd"><day>13,</day>	<month>June</month>	<year>2022</year>	</date><date date-type="accepted"><day>16,</day>	<month>June</month>	<year>2022</year></date></history><permissions><copyright-statement>&#169; Copyright  2014 by authors and Scientific Research Publishing Inc. </copyright-statement><copyright-year>2014</copyright-year><license><license-p>This work is licensed under the Creative Commons Attribution International License (CC BY). http://creativecommons.org/licenses/by/4.0/</license-p></license></permissions><abstract><p>
 
 
  This paper considers a hypothetical Carnot-like loop dynamism (powered by “money energy”) in nature versus artificial bodies, and considers income growth and distribution theory (economic entities) within a sustainable loop conveyor system in the world, along with its dynamism and efficiency. This loop theory schema is a dissection of the elliptic theory of pair-map microcosms, and can be expected to be the same for the self-moving mechanism of artificial bodies, such as virtual (digital) self-driving cars on the pair map (2D/3D). This discussion first begins with the examination of a linear “Taylor system” for a virtual GDP body, and loop theory. Matsui’s equation for flow time (flow number) can be used to present an example of formulation of two-level optimization, based on a closed-loop conveyor divided into “unloading” and “loading” sides. Lastly, the harmonic gain-sharing problem that faces economic bodies using a numerical and harmonic example of Win-win &amp; sharing is also analyzed by a heuristic base.
 
</p></abstract><kwd-group><kwd>Pair-Map Ellipse Theory</kwd><kwd> Loop Theory</kwd><kwd> Carnot-Like Dynamism</kwd><kwd> Digital GDP Engine</kwd><kwd> Matsui’s Equation</kwd></kwd-group></article-meta></front><body><sec id="s1"><title>1. Introduction</title><p>We live on a planet where landmasses are bound by oceans; thus, supply-demand management of people, goods, and information involves negotiating gaps between a series of isolated islands and islets—from ships to bridges to airplanes and conveyors—to establish processes and become sustainable (nested). This supply-demand management is gathering speed as transport routes and movement shift from linear to nonlinear systems in this era of globalization.</p><p>The world seems to increasingly be moving from stationary to mobile as we approach the society of the future. Supply and demand are expected to be kept stable on the pair map (2D/3D) as management moves about on a systemized conveyor—“static in motion” (Mori, 1947). This begs the question whether the coming digital age will be a society that moves sequentially, that is, one which thinks and acts as it moves.</p><p>This is the transition from a belt conveyor to a loop conveyor (Morris, 1962; Matsui, 1972) in the artifact world, a process (Matsui, 2018) in which lot size (Q) moves from Q &gt; 1 (integration) to Q1 (sharing). This loop society can be viewed as a kind of Carnot-like dynamism (compression &gt; expansion &gt; compression) on unloading (down) &gt; loading (up) &gt; unloading (down) that should lead to a more efficient engine.</p><p>This paper considers a hypothetical Carnot-like loop dynamism (powered by “money energy”) in a natural-versus-artifact body, and considers income growth and distribution theory (economic entities) within a sustainable loop conveyor system in the world, along with its dynamism and efficiency. This loop theory schema is also a dissection of the elliptic theory of pair-map microcosm, and can be expected to be the same for the self-moving mechanism of artifact bodies, such as virtual (digital) self-driving cars on the pair map.</p><p>This discussion first begins with consideration of the linear “Tailor system” for a virtual GDP body and loop theory. Matsui’s formalization of flow time (flow number) is used to present an example of formulation of two-level optimization, based on a closed-loop conveyor divided into “unloading” and “loading” sides (Matsui, 1982, 2011). Lastly, consideration is given to the harmonic gain-sharing problem faced by economic bodies by using a numerical and harmonic example of the Win-win &amp; sharing type.</p></sec><sec id="s2"><title>2. Loop Theory for Post-GDP</title><sec id="s2_1"><title>2.1. The “Tailor System” and Loop Theory</title><p>The Taylor system has existed for over a century (Taylor, 1947), and the progress of GDP expansion has posed a challenge to the productivity limits of sequential conveyor flow. That is, the division and subdivision, of labor and small-lot Q to pursue Q → 1 since the time of Adam Smith has resulted in average minimization of delay (waste); however, this has simultaneously been hampered by the barrier of increased variability and the post-GDP problem. Therefore, a shift from lot Q to lot Q &lt; 1 is required to break this barrier (Matsui, 2018, 2019).</p><p>This requires the division of labor in response to integration, and the harmonic balancing of sublation, which can only be achieved through the parallel ordered entry (OE) sequence equation (Matsui &amp; Fukuta, 1977) shown in <xref ref-type="fig" rid="fig1">Figure 1</xref>, by following the loop conveyor type. This problem was first identified during a queueing cycle analysis of unloading delay (the CSPS model) (Matsui, 2005), which formed the inspiration for the author’s book on probability management (Matsui, 2009). <xref ref-type="fig" rid="fig1">Figure 1</xref> depicts unloading and loading sides moving on a loop conveyor on the ground.</p><p>The loop conveyor, consisting of unloading and loading sides, usually rotates at a constant rate λ (&gt;0). Loading delay is given by λD = 1 – ρ + η (η: mean number of follows) at Matsui’s “muda” law (Matsui, 2005). Here, production rate r is the reciprocal of cycle time Z, which is the sum of work time X and delay time D. Together with overflow rate v, this is given by:</p><p>r = 1 / Z and v = λ − r</p><p>The world on the ground is below the moving loop conveyor, and the operator, moving with acceleration, is stationary on the conveyor, a visualized world with a relativity bias when looking down on the ground, and at that point pursues subordinate balancing. A parallel-ordered entry-row division of labor in response to integration, and a harmonic balancing of sublation can produce a win-win &amp; sharing world.</p></sec><sec id="s2_2"><title>2.2. Sustainable “Loop-Conveyor” Theory</title><p>It is preferable to separate (bypass) going and returning to visualize the bidirectional movement between isolated islands. The loop-conveyor is a well-known systems theory in manufacturing, and based on this, we will proceed with a model example of “stationary in motion” (Mori, 1947). Loop-type flows are characterized by a parallel ordered-entry flow format rather than a linear format.</p><p>The definition of processing rate P and overflow rate B (Matsui et al., 1977; Matsui, 1982, 2011) is useful in the placement of the usables that the work targets when representing the flow. <xref ref-type="fig" rid="fig2">Figure 2</xref> shows a closed-loop conveyor that repeats the unloading and loading on a conveyor flowing in one direction: if the balance between outflow (the former) and inflow (the latter) is maintained (e.g., synchronization), this forms a kind of circulating sustainable system.</p><p><xref ref-type="fig" rid="fig2">Figure 2</xref> shows the core of the pair-hierarchy (Matsui, 2020) where the artifact operators are located at the upper level (link) under profit maximization (revenue maximization, cost minimization) (Taylor, 1947). <xref ref-type="fig" rid="fig2">Figure 2</xref> demonstrates that the loop conveyor on the ground is moving and its behavior depicts an unloading/loading waveform cycle.</p><p>The world on the ground is below the moving loop conveyor, and the operator, moving with acceleration, is stationary on the conveyor, a visualized world with a relativity bias when looking down on the ground, and at that point pursues subordinate balancing.</p><p>Each unloading r<sub>i</sub> and loading r<sub>j</sub>, usually consisting of one or more work stations of number n, are staggered, not equal, and are successively ordered entries, and the balancing mechanism of their outflow rate, r<sub>i</sub>, versus inflow rate, r<sub>j</sub>, is generally dynamic. The job at this point is not a sum of tasks, but a world of products, where the win-win &amp; balancing (Matsui, 2018) solutions (equilibrium solution) are present. This issue can be discussed using two-level optimization in OR.</p></sec></sec><sec id="s3"><title>3. An Example of Matsui’s Formalization of the Conveyor Loop</title><sec id="s3_1"><title>3.1. Loop Conveyor: Examples of the Unloading vs. Loading Sides</title><p>The flow time of the loop-conveyor in <xref ref-type="fig" rid="fig2">Figure 2</xref> is similar to the job shop flow</p><p>shop type, and can be formulated using Matsui’s equation. <xref ref-type="fig" rid="fig2">Figure 2</xref> is divided into unloading (a) and loading (b) sides, and modeled separately before formulation, as shown in <xref ref-type="fig" rid="fig3">Figure 3</xref>.</p><p>Let us consider <xref ref-type="table" rid="table1">Table 1</xref> as an example flow shop problem (Job, n = 6) to present the formulation in the next section. Shop time F(W) in this case is obtained using the following equation of F W i , i = 1 , 2 , ⋯ , n (Conway et al., 1967):</p><p>F ( W ) = ∑ F W i .</p><p>Here, F W i is the job completion time, corresponding to W (=ZL) (Matsui, 2005) in Matsui’s formula.</p><table-wrap id="table1" ><label><xref ref-type="table" rid="table1">Table 1</xref></label><caption><title> An example of the job shop problem (Matsui, 2009): Unloading versus loading case</title></caption><table><tbody><thead><tr><th align="center" valign="middle"  colspan="2"   rowspan="2"  >Case (a): r<sub>i</sub>SPT*</th><th align="center" valign="middle"  colspan="2"  >scheduling problem</th><th align="center" valign="middle"  colspan="2"   rowspan="2"  >Case (b): r &#175; j ,LPT**</th></tr></thead><tr><td align="center" valign="middle" >job</td><td align="center" valign="middle" >work time</td></tr><tr><td align="center" valign="middle"  rowspan="6"  >ordered entry, i i = 1 ~ n</td><td align="center" valign="middle" >6</td><td align="center" valign="middle" >A</td><td align="center" valign="middle" >7</td><td align="center" valign="middle" >1</td><td align="center" valign="middle"  rowspan="6"  >ordered entry, j j = 1 ~ m</td></tr><tr><td align="center" valign="middle" >5</td><td align="center" valign="middle" >B</td><td align="center" valign="middle" >6</td><td align="center" valign="middle" >2</td></tr><tr><td align="center" valign="middle" >4</td><td align="center" valign="middle" >C</td><td align="center" valign="middle" >4</td><td align="center" valign="middle" >3</td></tr><tr><td align="center" valign="middle" >3</td><td align="center" valign="middle" >D</td><td align="center" valign="middle" >3</td><td align="center" valign="middle" >4</td></tr><tr><td align="center" valign="middle" >2</td><td align="center" valign="middle" >E</td><td align="center" valign="middle" >2</td><td align="center" valign="middle" >5</td></tr><tr><td align="center" valign="middle" >1</td><td align="center" valign="middle" >F</td><td align="center" valign="middle" >1</td><td align="center" valign="middle" >6 (m)</td></tr></tbody></table></table-wrap><p>*SPT: Shortest process time; **LPT: Latest process time.</p></sec><sec id="s3_2"><title>3.2. Examples of Matsui’s Equation for Unloading vs. Loading</title><p>Matsui’s equation is a determinant consisting of ki (Introduction), sho (Development), ten (transformation), ketsu (Conclusion), B (balance), and G (goal) (Matsui, 2014, 2019; Matsui et al., 2018). Loop-conveyors generally consist of two types of repetitions, with the unloading side corresponding to SPT rules, and the loading side corresponding to LPT rules. Case (a) and case (b) are presented in contrast using the difference between ten (T<sub>a</sub>) and ten (T<sub>b</sub>).</p><p><xref ref-type="fig" rid="fig4">Figure 4</xref> shows a sample formulation for <xref ref-type="table" rid="table1">Table 1</xref>, where the unloading side is given by Case (a) and the loading side by Case (b). The usables available for both cases are different, i.e., the usable in Case (a) and Case (b) are the “real” unit to be unloaded and the empty (hole) for loading, respectively.</p></sec></sec><sec id="s4"><title>4. Win-Win &amp; Sharing, and Benefit-Sharing Issues</title><sec id="s4_1"><title>4.1. A Two-Level Optimization Method for Loop Conveyors</title><p>The mathematical formulation of the loop conveyor is given in <xref ref-type="fig" rid="fig4">Figure 4</xref> as a two-level optimization problem (Matsui, 2020; Conway et al., 1967) in OR terms using Matsui’s equation for the flow problem in the system. This unloading (U)-side formulation has been considered diagrammatically as a trickle-down type benefit-sharing problem in terms of the win-win &amp; sharing problem in previous literature (Matsui, 2018; Matsui, 2020).</p><p>We aim for a harmonic (average) win-win and a harmonic shared balancing between layers, for the upper and lower problems, respectively. Here, the formulation for the unloading (U) and loading (L) sides are drawn using scheduling theory, where the two are considered formally separate and distinct. Additionally, they are drawn graphically and numerically, generally with a convex curve in Case (a) and a concave curve in Case (b).</p></sec><sec id="s4_2"><title>4.2. Win-Win &amp; Sharing and the Carnot Loop</title><p>There are limitations to the use of a solvable approach (Balakrishnan, 1972; Aiyoshi &amp; Shimizu, 1981) for finding a solution to the two-level optimization example presented in the previous section; however, the numerical approach (Matsui, 2022) yields <xref ref-type="fig" rid="fig5">Figure 5</xref> and <xref ref-type="table" rid="table1">Table 1</xref>. <xref ref-type="fig" rid="fig5">Figure 5</xref> demonstrates that the solution is characterized by a type of Carnot-loop behavior, as the income distribution and growth problem can be thought of as a kind of GDP engine. This problem is analogous to the Carnot loop problem in thermodynamics, and is also a dissection of elliptic theory in pair maps.</p><p>Drawing on <xref ref-type="fig" rid="fig5">Figure 5</xref>, it can be surmised from <xref ref-type="table" rid="table2">Table 2</xref> that win-win &amp; sharing yields a harmonious world. Win-win is almost equally X = Y = Z in the Upper-, Middle-, and Lower-layer segments for both Push and Pull. However, for Sharing, the left (A) and right (B) vary in size on the Push side, but are equal on the pull side, with sharing maximized by balance.</p><table-wrap id="table2" ><label><xref ref-type="table" rid="table2">Table 2</xref></label><caption><title> Summary of win-win &amp; sharing score: A harmonic example</title></caption><table><tbody><thead><tr><th align="center" valign="middle" >Layer Win-win</th><th align="center" valign="middle" >Upper, X</th><th align="center" valign="middle"  colspan="2"  >Middle, Y</th><th align="center" valign="middle" >Lower, Z</th></tr></thead><tr><td align="center" valign="middle" >Push (W)</td><td align="center" valign="middle" >49 (7.0 &#215; 7.0)</td><td align="center" valign="middle"  colspan="2"  >49 (3.6 &#215; 13.6)</td><td align="center" valign="middle" >49 (0.4 &#215; 122.5)</td></tr><tr><td align="center" valign="middle" >Pull (W)</td><td align="center" valign="middle" >710.5 (7.0 &#215; 100.9)</td><td align="center" valign="middle"  colspan="2"  >709.5 (6.6 &#215; 107.5)</td><td align="center" valign="middle" >710.5 (5.8 &#215; 122.5)</td></tr><tr><td align="center" valign="middle" >Sharing</td><td align="center" valign="middle"  colspan="2"  >Push ( X → Y → Z ) d</td><td align="center" valign="middle"  colspan="2"  >Pull ( Z ← Y ← X ) u</td></tr><tr><td align="center" valign="middle" >left (A)</td><td align="center" valign="middle"  colspan="2"  >25.2 (3.6 &#215; 13.6)</td><td align="center" valign="middle"  colspan="2"  >623.5 (6.6 &#215; 100.9)</td></tr><tr><td align="center" valign="middle" >right (B)</td><td align="center" valign="middle"  colspan="2"  >5.44 (0.4 &#215; 100.9)</td><td align="center" valign="middle"  colspan="2"  >665.9 (5.8 &#215; 107.5)</td></tr><tr><td align="center" valign="middle" >total</td><td align="center" valign="middle"  colspan="2"  >30.64</td><td align="center" valign="middle"  colspan="2"  >1289.4</td></tr><tr><td align="center" valign="middle" ></td><td align="center" valign="middle" ></td><td align="center" valign="middle" ></td><td align="center" valign="middle" ></td><td align="center" valign="middle" ></td></tr></tbody></table></table-wrap></sec></sec><sec id="s5"><title>5. Conclusion and Outlook</title><p>The natural vs. artifact body pair map microcosm that draws from a natural vs. artifact science has its origins in supply and demand management. The dissection of the elliptic theory has revealed a Carnot-like loop on a pair map (2D/3D). The outlook has been broadened to account for a monetary supply-demand economy, by expanding the outlook from traditional linear arguments, such as “is money good or bad?” and “does money flow round”, to take into account nested economics, benefit-distribution theory and (efficient) GDP engines.</p><p>The loop-theory presented in this paper shows bi-directional supply-demand dynamism and Carnot-like loop theory from a moving stationary state perspective, evolving from linear or tree-like supply-demand matching. This presents a harmonic (average) win-win &amp; sharing method and its space within a virtual GDP engine (driven by “money-energy”). Thus, loop-theory can be considered effective as a type of supply-demand economy theory for increasing and distributing income, and as a management theory.</p><p>Virtual (digital) GDP engine theory is expected to lead to the development of self-moving mechanisms for the next generation of virtual self-driving cars and other (artificial) vehicles.</p></sec><sec id="s6"><title>Acknowledgements</title><p>I would like to thank Editage (https://www.editage.com/) for English language editing.</p></sec><sec id="s7"><title>Conflicts of Interest</title><p>The author declares no conflicts of interest regarding the publication of this paper.</p></sec><sec id="s8"><title>Cite this paper</title><p>Matsui, M. (2022). Virtual GDP Engine: The Loop-Conveyor Problem in Sustainable Economics, and a Method for Formalizing Carnot-Like Dynamism and Win-Win &amp; Sharing. 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