In this work we analyze market payoffs of Credit Default Swaps (CDS) and we derive rigorous standard market formulas for pricing options on CDS. Formulas are based on modelling CDS spreads which are consistent with simple market payoffs, and we introduce a subfiltration structure allowing all measures to be equivalent to the risk neutral measure. Then we investigate market CDS spreads through c...

We evaluate theoretical uncertainties to the method of Pais and Treiman to measure the ππ phase shifts in Ke4 decays. We find that they are very small, below 1%. Work supported in part by the INFN, and by the HCM, EEC-Contract No. CHRX-CT920026 (EURODAΦNE) Unité de Recherche des Universités Paris XI et Paris VI associée au CNRS.

Vietnam has been pursuing economic reforms to support the marketization process and the development of SMEs. This paper examines the extent to which Vietnam’s policies effectively support the development of market principles for the growth of SMEs. This paper also assesses issues affecting the sustainability of the measures taken by the government under its Doi Moi policy. The methodology entai...

A fter four years of hardly keeping up with inflation, Indiana cropland values jumped around 10% in the year ending in June 1994 according to the Purdue land values survey. The USDA reported a 7.8% increase for the year ending January 1. Likely causes of strength in the land market include low interest rates (affecting both borrowers and equity investors), generally good yields in Indiana in 19...

This paper examines the economic consequences of corporate scandals in an emerging economy such as China where contracts are primarily conducted based on relationships rather than market mechanisms. The key feature of this study is that we categorize each corporate scandal by whether it damages a firm’s ability to conduct relationship-based contracting (relationship scandals), market-based cont...

F or gauging inflationary pressures, many policymakers and financial market analysts pay close attention to the behavior of wages. It is widely believed that if wage costs rise faster than productivity, the price level may rise as firms pass forward increased wage costs in the form of higher product prices. Hence changes in productivity-adjusted wages1 are believed to be a leading indicator of ...

The luxury concept has throughout history played an important role in social life by being a clear indicator of knowledge and social class which has not changed at present but only becoming catchier. Today, the demand for luxury brands is ever increasing and brand offering is continuously on the rise.The luxury market is expanding rapidly in India on the back of economic deregulation, fast GDP ...

We study the effect of product market competition on the alignment of incentives between management and shareholders in public U.S. firms. We find that competition reduces agency conflicts. Firms in less competitive industries are less efficient than firms in more competitive industries and the Sarbanes Oxley regulation, aimed at mitigating agency conflicts, improved efficiency mainly in the le...

A class of heterogeneous agent models is investigated where investors switch trading position whenever their motivation to do so exceeds some critical threshold. These motivations can be psychological in nature or reflect behaviour suggested by the efficient market hypothesis (EMH). By introducing different propensities into a baseline model that displays EMH behaviour, one can attempt to isola...

In this report, we consider a simple economic market model: the Sellers Market. In this market, n sellers have various strategies which depend on any number of the (n−1) other sellers, or the current or starting market price of this market. We consider a variety of seller strategies, both deterministic and nondeterministic, defined as real-valued functions, which may or may not be bounded. We a...