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A Diffusion Approximation Framework for Ride-Hailing with Travel Delays

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Document pages: 44 pages

Abstract: This paper develops a closed queueing network model of a ride-hailing system by viewing cars as the jobs moving through various nodes of the network perpetually. The queueing network model crucially incorporates the travel times between different nodes of the network. We prove a novel heavy-traffic limit theorem for this queueing network, providing an approximation for the original ride-hailing system.

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