It holds in great generality that a plan is optimal for a dynamic programming problem, if and only if it is “thrifty” and “equalizing.” An alternative characterization of an optimal plan, that applies in many economic models, is that the plan must satisfy an appropriate Euler equation and a transversality condition. Here we explore the connections between these two characterizations.

Former President Bill Clinton described South Asia as the most dangerous place on earth. We in Pakistan agree with this characterization. It is indeed ironic that the extremely enterprising and hard working people of South Asia, who have achieved such success in their endeavors abroad, have been unable to resolve their mutual differences in order to harness the immense economic potential of the...

Online auctions have challenged many assumptions and results from the traditional economic auction theory. Observed bidder behavior in online auctions often deviates from equilibrium strategies postulated by economic theory. In this research, we consider an online auction as an information system that provides a longduration, information-rich, dynamic application environment in which users (bid...

We offer a new perspective on games of irreversible investment under uncertainty in continuous time. The basis is a particular approach to solve the involved stochastic optimal control problems which allows to establish existence and uniqueness of an oligopolistic open loop equilibrium in a very general framework without reliance on any Markovian property. It simultaneously induces quite natura...

Kremer, Onatski, and Stock (KOS) criticize twin peaks dynamics in the evolution of cross-country income dynamics. They suggest instead convergence to a single peak at high incomes, with a prolonged transition when polarization and inequality increase. This article makes three points. First, the data are as consistent with a twin peaks characterization as they are for KOS’s preferred description...

H. Scott Hamlin is a research scientist associate at the Bureau of Economic Geology. He received his B.A. and M.A. degrees and his Ph.D. from the University of Texas at Austin. His research interests include depositional systems, stratigraphy, reservoir characterization, and hydrogeology. Ozona sandstone, Val Verde Basin, Texas: Synorogenic stratigraphy and depositional history in a Permian for...

 Contribute to establish best practice for site characterization, process optimization, monitoring and verification and risk assessment for geologic storage of CO2.  Increase public acceptance and awareness of CCS.  Expand economic/ infrastructure scenarios for the whole CCS value chain.  Advance the science and expand the potential scope of implementation of CCS technologies through intern...

We offer a new perspective on games of irreversible investment under uncertainty in continuous time. The basis is a particular approach to solve the involved stochastic optimal control problems which allows to establish existence and uniqueness of an oligopolistic open loop equilibrium in a very general framework without reliance on any Markovian property. It simultaneously induces quite natura...

We present the solution of a portfolio optimization problem for an economic agent endowed with a stochastic insurable stream, under a liquidity constraint over the time interval [0, T ]. Generally, the existence of labor income complicates the agent’s decisions. Moreover, in the real world the economic agents are restricted in their ability to borrow against their future labor income. We deal w...

This paper presents a detailed method to develop cost-optimal studies for the energy renovation of residential buildings. A realistic characterization of the building has been introduced, using measurement and survey data. The method allows improving the interaction between the occupancy and the building, and the characterization of the real state of the construction. In addition, the building ...