Survey on the Application of Economic and Market Theory for Grid Computing

Survey on the Application of Economic and Market Theory for Grid Computing

Xia Xie (Huazhong University of Science and Technology, China), Jin Huang (Huazhong University of Science and Technology, China), Song Wu (Huazhong University of Science and Technology, China), Hai Jin (Huazhong University of Science and Technology, China), Melvin Koh (Asia Pacific Science & Technology Center, Sun Microsystems, Singapore), Jie Song (Asia Pacific Science & Technology Center, Sun Microsystems, Singapore) and Simon See (Asia Pacific Science & Technology Center, Sun Microsystems, Singapore)
Copyright: © 2009 |Pages: 19
DOI: 10.4018/978-1-59904-576-4.ch019
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Abstract

In this chapter, we present a survey on some of the commercial players in the Grid industry, existing research done in the area of market-based Grid technology and some of the concepts of dynamic pricing model that we have investigated. In recent years, it has been observed that commercial companies are slowly shifting from owning their own IT assets in the form of computers, software and so forth, to purchasing services from utility providers. Technological advances, especially in the area of Grid computing, have been the main catalyst for this trend. The utility model may not be the most effective model and the price still needs to be determined at the point of usage. In general, market-based approaches are more efficient in resource allocations, as it depends on price adjustment to accommodate fluctuations in the supply and demand. Therefore, determining the price is vital to the overall success of the market.
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Introduction

The term Grid computing was introduced for describing a new model for distributed computing. The basic concept refers to the sharing of distributed heterogeneous compute resources virtualized as a single resource pool (Foster & Kesselman, 1999; Foster, Kesselman, Nick & Tuecke, 2002). Typically, as grids are often used for running computational intensive applications, the common type of grid resource usually means compute cycle. However, the concept does not place any restrictions, as it can be all kinds of computing resources like network bandwidth, data storage, application licenses and even scientific devices.

Today, the practice of Grid computing is based on voluntary sharing of compute resources, which is sufficient for establishing small-scale private grid dedicated to a specific purpose. However, to build a global level generic grid, this is simply not sustainable. Organizations, especially from the industry, will find very little reason to share their resources for free, and will expect some gains from their participation. Therefore, in order for grid to be the mainstream computing model, an efficient supporting platform and mechanism should be designed for encouraging resource owners to offer their idle resources and customers to satisfy their resource needs. Therefore, the idea of using markets in Grid computing as a means for organizations to commercialize their grid resources was revitalized by many researchers.

A market is, as defined in economics, a social arrangement that allows buyers and sellers to discover information and carry out a voluntary exchange. Our definition of the Grid Market refers to a software platform with the business mechanisms to support trading between grid users. Its principle is similar to the conventional marketplace and the goods that are traded on are generic grid resources, including concrete computing/storage/network physical resources, grid services and complex workflows. The Grid Market provides the required business functions to support the business process to allow any customers to participate in the trading. Such functions have to cover the all the possible activities in a typical market such as registration of new customers, advertising the trade goods, searching and browsing the market, bartering, monitoring the prices and making or receiving payment.An emergence of such a marketplace for grid brings the following advantages:

  • Encourages more users to adopt Grid technology, especially in enterprises.

  • Provides incentives for resource owners to provide their idle resources, which is helpful for establishing large-scale, mature grid systems.

  • Enforces efficient utilization of grid resources in which buyers who value a resource most highly will buy from sellers most willing to sell. Provide access for even small businesses to temporary grid resources which may be too expensive to acquire on their own, or just to meet their short term peak demand.

  • Customers, including both buyer and seller, can easily design their trading policies based on their current status so as to maximize resources’ utilization and their benefits.

Currently, many works have been done on applying market-based economic paradigm to Grid computing. The objective of this chapter is to provide a review of the past and current efforts in commercialization of Grid computing, as well as some of the business and pricing models that have been considered for e-commerce and e-business which can be apply to the Grid Market.

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Overview Of Grid Commercialization

Economic systems in human society can be broadly classified into two models: Central Planning Model and Free Market Model (Shetty, Padala, & Frank, 2003). In central planning model, a single institution has total authority and decides what to produce, how to produce and to whom. In a free market model, producers and consumers make these decisions suiting their benefits. Our Grid Market is a typical free market model.

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Table of Contents
Preface
Dariusz Król, Ngoc Thanh Nguyen
Chapter 1
Juliusz L. Kulikowski
In this chapter, a concept of using incomplete or fuzzy ontologies in decision making is presented. A definition of ontology and of ontological... Sample PDF
Logical Inference Based on Incomplete and/or Fuzzy Ontologies
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Chapter 2
Amelia Badica, Costin Badica, Elvira Popescu
The Web is designed as a major information provider for the human consumer. However, information published on the Web is difficult to understand and... Sample PDF
Using Logic Programming and XML Technologies for Data Extraction from Web Pages
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Chapter 3
Andreas Jacobsson, Paul Davidsson
This chapter introduces a formal model of virtual enterprises, as well as an analysis of their creation and operation. It is argued that virtual... Sample PDF
A Formal Analysis of Virtual Enterprise Creation and Operation
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Chapter 4
Donat Orski
The chapter concerns a class of systems composed of operations performed with the use of resources allocated to them. In such operation systems... Sample PDF
Application of Uncertain Variables to Knowledge-Based Resource Distribution
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Chapter 5
Clive Fencott
This chapter undertakes a methodological study of virtual environments (VEs), a specific subset of interactive systems. It takes as a central theme... Sample PDF
A Methodology of Design for Virtual Environments
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Chapter 6
Salvador Sanchez-Alonso, Dirk Frosch-Wilke
In current organizations, the models of knowledge creation include specific processes and elements that drive the production of knowledge aimed at... Sample PDF
An Ontological Representation of Competencies as Codified Knowledge
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Chapter 7
Marcos De Oliveira, Martin Purvis
In the distributed multi-agent systems discussed in this chapter, heterogeneous autonomous agents interoperate in order to achieve their goals. In... Sample PDF
Aspects of Openness in Multi-Agent Systems: Coordinating the Autonomy in Agent Societies
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Chapter 8
Kostas Kolomvatsos, Stathes Hadjiefthymiades
The field of Multi-agent systems (MAS) has been an active area for many years due to the importance that agents have to many disciplines of research... Sample PDF
How Can We Trust Agents in Multi-Agent Environments? Techniques and Challenges
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Chapter 9
Mariusz Nowostawski
The concept of autonomy is one of the central concepts in distributed computational systems, and in multi-agent systems in particular. With diverse... Sample PDF
The Concept of Autonomy in Distributed Computation and Multi-Agent Systems
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Chapter 10
Maryam Purvis, Toktam Ebadi, Bastin Tony Roy Savarimuthu
The objective of this research is to describe a mechanism to provide an improved library management system using RFID and agent technologies. One of... Sample PDF
An Agent-Based Library Management System Using RFID Technology
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Chapter 11
Sharmila Savarimuthu, Martin Purvis, Maryam Purvis, Mariusz Nowostawski
Societies are made of different kinds of agents, some cooperative and uncooperative. Uncooperative agents tend to reduce the overall performance of... Sample PDF
Mechanisms to Restrict Exploitation and Improve Societal Performance in Multi-Agent Systems
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Chapter 12
Bastin Tony Roy Savarimuthu, Maryam Purvis, Stephen Cranefield
Norms are shared expectations of behaviours that exist in human societies. Norms help societies by increasing the predictability of individual... Sample PDF
Norm Emergence in Multi-Agent Societies
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Chapter 13
Scott A. DeLoach, Madhukar Kumar
This chapter provides an overview of the Multi-agent Systems Engineering (MaSE) methodology for analyzing and designing multi-agent systems. MaSE... Sample PDF
Multi-Agent Systems Engineering: An Overview and Case Study
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Chapter 14
František Capkovic
An alternative approach to modeling and analysis of agents’ behaviour is presented in this chapter. The agents and agent systems are understood here... Sample PDF
Modeling, Analysing, and Control of Agents Behaviour
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Chapter 15
Martin Tabakov
This chapter presents a methodology for an image enhancement process of computed tomography perfusion images by means of partition generated with... Sample PDF
Using Fuzzy Segmentation for Colour Image Enhancement of Computed Tomography Perfusion Images
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Chapter 16
Giovanni Vincenti, Goran Trajkovski
This chapter presents an innovative approach to the field of information fusion. Fuzzy mediation differentiates itself from other algorithms, as... Sample PDF
Fuzzy Mediation in Shared Control and Online Learning
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Chapter 17
Adam Jatowt, Yukiko Kawai, Katsumi Tanaka
The Web is a useful data source for knowledge extraction, as it provides diverse content virtually on any possible topic. Hence, a lot of research... Sample PDF
Utilizing Past Web for Knowledge Discovery
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Chapter 18
Dariusz Król
In this chapter, we propose a generic framework in C# to distribute and compute tasks defined by users. Unlike the more popular models such as... Sample PDF
Example-Based Framework for Propagation of Tasks in Distributed Environments
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Chapter 19
Xia Xie, Jin Huang, Song Wu, Hai Jin, Melvin Koh, Jie Song, Simon See
In this chapter, we present a survey on some of the commercial players in the Grid industry, existing research done in the area of market-based Grid... Sample PDF
Survey on the Application of Economic and Market Theory for Grid Computing
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About the Contributors