Abstract
The performance of a network extraction algorithm is described, and the algorithm is tested by using the network design problem. A network is chosen as the original network and is aggregated at different levels. The results of the optimal decision making under a common set of alternative actions are then compared against the original and the aggregated networks. The results suggest that the network aggregation algorithm is a useful tool in simplifying networks to reduce the computational burden associated with the network design problem, and to allow a broader range of policy options to be tested in a fixed amount of computer time than would be allowed by using the original disaggregated network. (A)