Past exam of the mathematics course of the University of Cambridge 2010 iii Paper 30 4 a Solution Created 2026-10-03 Updated 2026-10-14
The objective approximates the logarithm of the product-form stationary distribution of a loss network. To make the approximation precise, multiply arrival rates and capacities by and write . The Stirling formula gives, uniformly on the feasible compact set,with . The feasible set is . Positive capacities and a nonempty route for each class make compact with a strictly positive feasible point. Since is a strictly concave function, its maximizer is unique; its infinite inward derivative at makes every component positive.
The Karush-Kuhn-Tucker conditions give nonnegative link Lagrange multipliers satisfyingFor any neighborhood of , continuity and uniqueness give a strictly positive objective gap outside it. There are only polynomially many feasible lattice states, while their weights differ exponentially in . The feasible point has objective tending to . It follows that the stationary law concentrates at on the scale ; in particular,Thus NETWORK predicts the dominant occupancy and mean occupancy in a large loss network. For unscaled inputs it gives a continuous approximation to the modal integer state.
It also gives an exact useful change of variables. Substituting into the equilibrium weights yieldsThis is Poisson exponential tilting for a loss network: independent Poisson random variables centered at the predicted occupancies, restricted to the feasible region and penalized for slack in positively priced resources. It explains why an unconstrained Gaussian approximation should not automatically be applied at a saturated capacity boundary.